Goldman Says China Growth Must Slow Below 7% to Meet Goal

China should allow economic growth to slow to below 7 percent to reduce reliance on investment spending, according to Goldman Sachs Group Inc.’s Ha Jiming.

Achieving Premier Li Keqiang’s target of 7.5 percent gross domestic product growth for this year could further aggravate imbalances and a rate “below 7 percent” is roughly what China needs, said Ha, the Hong Kong-based vice chairman and chief investment strategist at Goldman’s investment management division for China. Next year, “I hope the target could be lowered to reflect the need for economic rebalance,” he said.