Being viewed as No 1 is a problem for Beijing

CHINESE Premier Li Keqiang announced last Thursday that the government had set its economic growth target for about 7 per cent for this year. This follows GDP growth of 7.4 per cent in 2014 and 7.7 per cent in 2013.

While 7 per cent growth in 2015 would represent China's weakest expansion in a quarter of a century, it dwarfs that of Western economies. Indeed, almost 61/2 years since Lehman Brothers went bust, much of the developed world, especially Europe, is still recovering from the worst economic downturn possibly since the 1930s.

The consequences of China's continued strong growth, and prolonged economic weakness in much of the West, have been more than financial. In terms of perceptions, many international publics believe the global economic balance of power has swung sharply towards the country. While welcomed by many in China, this opinion shift is causing headaches for Beijing. It has exposed the country to greater foreign scrutiny for which it has generally been ill-prepared. This has exposed a growing "soft-power deficit" which is complicating China's rise to power.