Digital Scoop India Official Platform of Digital Scoop India Featuring Latest & Best News #Articles #Bytes #Entertainment #DigitalScoopMagazine
Related Articles
China’s economy, the world’s second-largest, has defied expectations by growing at a robust pace of 5.3% in the first quarter of 2024. This growth comes amidst ongoing challenges such as a slowdown in demand and a property crisis in the country, showcasing the resilience of China’s economic policies and the adaptability of its markets.
Key Points:
- Growth Exceeds Forecasts: Official data revealed that China’s economy expanded at an annual rate of 5.3% in January-March, surpassing analysts’ forecasts of about 4.8%. This growth also marked a significant increase of 1.6% compared to the previous quarter.
- Policy Boost: The strong performance was attributed to supportive policies implemented by the Chinese government, coupled with increased demand in key sectors.
- 2024 GDP Target: China has set a gross domestic product (GDP) growth target of 5% for 2024, reflecting a positive outlook despite ongoing challenges.
- Industrial Production: Industrial production rose by 4.5% in March compared to a year earlier, slightly below economists’ expectations of 6%. However, for the first quarter, industrial output increased by a solid 6.1%.
- Retail Sales and Investment: Retail sales climbed by 3.1%, falling short of the expected 4.8% gain. Fixed-asset investment expanded by 4.5% in the first three months, slightly surpassing the expected increase of 4%.
- Property Sector Challenges: The property sector continued to face challenges, with investment plunging by 9.5% in the period, reflecting the ongoing property crisis in China.
- Employment Picture: Despite economic challenges, the urban jobless rate dropped to 5.2% in the latest data, showing signs of stabilization in the labor market.
- Goldman Sachs Analysis: Goldman Sachs offered insights into China’s economic trajectory, noting that government support for households and businesses may vary depending on international market conditions. The firm raised its growth forecast for China and expressed confidence that the 5% growth target for 2024 will be met.
China’s economy’s resilience in the face of challenges like the Covid pandemic fallout and property market pressures highlights its ability to navigate complexities and maintain steady growth. Analysts remain cautiously optimistic, watching international market dynamics and domestic policy responses closely as China continues on its economic trajectory in 2024.
Sources By Agencies
