China’s economy slowed to 9.6 per cent in the third quarter. Though the world’s second-largest and fastest-growing economy avoided overheating, inflation rose to a 23-month high.
The growth rate fell from nearly 12 per cent in the first quarter and 10.3 per cent in the second quarter as Beijing began to withdraw stimulus measures, rein in bank loans and control spiralling housing prices. From January to September, GDP (gross domestic product) grew by10.6 per cent.
“The economic turnaround has been further consolidated and is moving in the anticipated direction,’’ said Sheng Laiyun, spokesman of the National Bureau of Statistics.
“The slowdown in heavy industrial production was the most prominent, as infrastructure investment slowed, and recently, power cuts restrained production,’’ said Tao Wang, head of China economic research at UBS Securities in Beijing.