China an ‘important engine’ for world economic recovery: Wen

China’s economy is in ‘good shape’ and has helped power the world’s recovery from the devastating financial crisis that erupted two years ago, Premier Wen Jiabao said Monday.

Wen, speaking at the start of the World Economic’s Forum three-day “Summer Davos” in the northern port city of Tianjin, also pledged to ensure an open and fair environment for foreign businesses operating in the Asian powerhouse.

“China’s economic growth has provided major development opportunities for the multinationals and created huge demand for major economies and neighboring countries,” Wen said.

“It has become an important engine for the world economic recovery,” the premier said, praising his country’s massive stimulus package as “timely, fruitful, effective and suited to China’s realities”.

“China’s economy is now in good shape, featuring fast growth, gradual structural improvement, rising employment and basic price stability,” he said.

China’s economy slowed in the second quarter, growing 10.3 percent compared with a blistering 11.9 percent in the first three months, after Beijing introduced a slew of measures designed to avoid overheating.

Japanese government data issued last month showed that its second quarter GDP on a nominal basis came in at 1.288 trillion dollars, below China’s 1.336 trillion dollars, although Japan remained stronger over the first half.

Wen reiterated that Beijing was “committed to creating an open and fair environment for foreign-invested enterprises”, while noting that foreign firms had “reaped good returns” in China.

Surveys by the American and European chambers of commerce in recent months have shown that overseas companies are increasingly unhappy with the way they are treated in China.

The European Union chamber said early this month that uneven enforcement of laws and unfair restrictions on foreign investment were deterring overseas companies from expanding their operations in the Asian country.

Beijing last month urged officials to implement policies aimed at encouraging foreign investment, in an apparent response to the criticism by foreign governments and firms over perceived unfair policies.