China's growth down to 6.9%, least in 25 years

The People's Congress of China on Saturday fixed the country's growth rate at 6.9% in 2015, the lowest in the past 25 years, and prepared for challenges this year, BBC reported. The announcement was made by Premier Li Keqiang at the annual meeting. The National People's Congress sets the annual economico-political agenda of the country. The downturn is said to be the reslut of over-reliance on manufacturing and heavy industry and slowing down of economic growth. China's defence spending rose by 7.6%. Observers, however, say it would be business as usual and that China was committed to growth at all costs. Chinese stocks lost a whopping 30% last year. Government intervention had only limited success. Moody's downgraded China's outlook from `stable' to `negative' for this year.