China's economy grew 6.3pc on-year Q2
The nation's economy grew 6.3 percent year-on-year in the second quarter of 2023, official data showed Monday, despite a patchy post-Covid rebound in recent months. The National Bureau of Statistics (NBS) said in a statement that the economy "showed a good momentum of recovery". "By quarter, the GDP grew by 4.5 percent year on year in the first quarter and 6.3 percent in the second quarter," NBS spokesman Fu Linghui said. "Market demand gradually recovered, production supply continued to increase, employment and price were generally stable, and residents' income grew steadily," he said. Fu noted that the nation is full of confidence and has the capability to achieve its annual economic growth targets despite facing challenges. The economy is improving, but the international political and economic situation remains complex and the foundation of domestic economic recovery is not solid, Fu added. Growth in quarter-on-quarter terms shows the world's second-largest economy expanded just 0.8 percent in April-June. That is down from 2.2 percent growth seen in the previous three months after lukewarm activity from October to December. Additional data released on Monday showed its post-pandemic recovery petering out, likely boosting calls for greater economic stimulus. Unemployment among mainland youths jumped to a record 21.3 percent in June, up from 20.8 percent in May, the NBS also said Monday.  "I think what the Q2 numbers tell us is that even though the year-on-year growth seems to be still quite strong because of a low base effect, there will still be more challenges in the second half of the year," Natixis Asia Pacific economist Gary Ng told RTHK. He expects GDP growth in the second half to slow to 4 to 5 percent, citing weak confidence towards the property sector, sluggish consumption due to slower growth in disposable income, and high global interest rates putting pressure on exports and manufacturing, among other factors. Ng added that the longer-term economic outlook is uncertain as well. "The biggest problem for the mainland economy will not be in 2023, but it's really about 2024 onwards, to see whether there can be a rebound in confidence from households and also private firms." (AFP/Reuters, additional reporting by RTHK)_____________________________
Last updated: 2023-07-17 HKT 16:00 