The German Chamber of Commerce (AHK) in China sees Beijing’s 5% growth target for this year as a positive sign for German companies.

Oliver Oehms, the managing board member of the AHK in north China, said on Wednesday that more signs of stabilization and action were being conveyed.

“For German companies in China, this is good news – they are particularly hoping for a stimulating effect on domestic demand, which has long been a cause for concern,” Oehms said.

At the opening of the National People’s Congress in Beijing, Premier Li Qiang announced an economic growth target of “around 5%” as he did last year. Oehms said this shows continuity.

Due to economic problems and global trade disputes, observers believe the plan is ambitious.