Over the next three days,... we're going to take an in-depth look into the world's second biggest economy - China.
On the first part of this series, Kim Min-ji explains why China's economy has slowed down... and what's being done to turn it around.
After decades of breakneck expansion, the Chinese economy wound down last year to its slowest pace in 24 years.
It grew 7-point-4 percent,... falling short of the government's target of 7-point-5.
At this year's major political meetings, China is expected to lay the groundwork for further reforms to aid this period of slowing growth.
"China isn't expected to record double-digit growth anymore, given the size of its economy. Also its exports and investment, which were once important growth drivers, are now seen as unsustainable."
China's exports have slumped in recent years due to sluggish global demand,... and the country's heavy dependence on investments led to severe problems, including income inequality and an imbalance between consumption and investment.
China describes the slowing momentum as the "new normal" and efforts are underway to transform the economy to one that's driven by domestic consumption and services.
The government has implemented various policies aimed at boosting consumption, such as accelerating urbanization, adopting universal healthcare and easing regulations in the service sector.
"China's consumption will start to rebound by 2020. China's consumption will reach around 44 percent of GDP, from the current 36 percent. By that time, China's consumption market will be 10-point-7 trillion U.S. dollars."
Analysts see the slowdown in 2014 as a prelude to slower growth this year, as they don't foresee China's domestic-led growth will have an immediate impact.
What's more, there are looming uncertainties for the global market, which is dependant on the Chinese economy for growth.
And Korea is no exception, with China as its leading trade partner.
Kim Min-ji, Arirang News.
