Economies 'must adjust'

HONOLULU / BEIJING - President Hu Jintao pledged on Sunday that China will boost both imports and domestic demand as the world's second-largest economy embraces a more balanced economic structure.

Hu made the remarks as he addressed Asia-Pacific Economic Cooperation (APEC) leaders who were attending a summit in Hawaii. He called on regional countries to change their growth model to better meet the challenge of a struggling global economy.

Analysts said that Hu's speech sent a clear message that China is committed to economic cooperation, both regionally and further afield.

Addressing APEC leaders, Hu said sustainable growth was vital for economic recovery and long-term development.

"We should speed up the shifting of the growth model and adjust the economic structure".

Hu said that developed countries should adopt responsible macroeconomic policies and properly handle sovereign debt and fiscal risks. Emerging markets, he added, should boost domestic demand and promote growth through the combined forces of consumption, investment and exports.

Wu Jinglian, a leading economist with the State Council's Development Research Center, said low savings and high consumption in developed countries were key factors behind the current global financial crisis. The opposite scenario was at play in developing economies and this worsened the global economic situation, he said.