Xiconomics: China strives to push for peace and development in stormy times

BEIJING -- The Russia-Ukraine conflict is one shock too many for the world economy struggling to get back on its feet from the COVID-19 pandemic.

Rising energy prices have pushed inflation in many countries to the highest levels in decades. Food insecurity is deepening across the Middle East and Africa that heavily rely on imports from Russia and Ukraine. Nations that should have stood together in such trying times are drifting apart, impacted by power politics, unilateralism and protectionism.

Given the risks and challenges, the International Monetary Fund (IMF) and the World Bank slashed their global growth forecast for 2022 earlier this month. "To put it simply: we are facing a crisis on top of a crisis," said IMF Managing Director Kristalina Georgieva.

Sustainable growth requires a peaceful economic and political environment. Therefore, in light of the widening development gap and peace deficit, Chinese President Xi Jinping has proposed a series of initiatives to address global challenges while rejuvenating global development.

Balancing act

Over the past two years, China's economy has delivered an impressive performance despite the pandemic, and is now growing steadily.

Adapting to challenges at home and abroad better than expected, China notched a GDP growth rate of 4.8 percent in the first quarter year on year, beating estimates of 4.4 percent and outperforming the 4-percent rate registered in the previous quarter.

The rate is hard-won, with the country grappling with an upsurge in COVID-19 cases and the impact of the Russia-Ukraine conflict.

China has adhered to a dynamic zero-COVID policy tailored to its national realities, clearing infections promptly and tweaking it in line with an evolving situation on the ground.

Human beings are one of the most decisive factors in guaranteeing robust productivity. Behind China's arduous efforts to strike a balance between epidemic control and socio-economic development is the value of putting human lives first and focusing on the greater common good, as illustrated by "Xiconomics," the Chinese president's economic philosophy.

Whether in the financial hub of Shanghai or elsewhere in the country, an effective epidemic control remains a precondition for economic growth in the long run and an optimal choice at present.

The dynamic zero-COVID approach yields better results "on every measure, from death rates to economic growth," said New Scientist, a London-based magazine covering science and technology.

"If the target of zero COVID is now being ditched, does that mean it was a failure? A crude answer would be: only if you think saving lives and preserving economic growth constitutes a misstep," it said.

Moreover, to retain sound fundamentals over the long haul, China is rolling out policies to support enterprises, stabilize employment and maintain a prudent monetary policy, practicing its "dual circulation" model that emphasizes both growing exports and expanded domestic demand.

"The fundamentals of the Chinese economy -- its strong resilience, enormous potential, vast room for maneuver and long-term sustainability -- remain unchanged," Xi said last week in his keynote speech via video at the opening ceremony of the Boao Forum for Asia Annual Conference 2022.

"They will provide great dynamism for the stability and recovery of the world economy and broader market opportunities for all countries," Xi said.