China's economy beats expectations, grows at 5.3% in first quarter: Top points - Hindustan Times
close_game
close_game

China's economy beats expectations, grows at 5.3% in first quarter: Top points

Apr 16, 2024 07:59 AM IST

China's economy has struggled to bounce back from the Covid pandemic as a slowdown in demand and a property crisis in the country.

China’s economy beat expectations in the first quarter receiving a boost from policies and an increase in demand, the government said. The country's economy- world’s second-largest- expanded at a 5.3% annual pace in January-March. This beat analysts’ forecasts of about 4.8%, official data showed and compared to the previous quarter, growth was up 1.6%. China has set a gross domestic product (GDP) growth target of 5% for 2024.

Chinese President Xi Jinping adjusts his jacket during the closing session of the National People's Congress held at the Great Hall of the People in Beijing.(AP)
Chinese President Xi Jinping adjusts his jacket during the closing session of the National People's Congress held at the Great Hall of the People in Beijing.(AP)

Read more: Tesla layoffs: Elon Musk's company to cut more than 10% of its global workforce

Why has China's economy struggled?

China's economy has struggled to bounce back from the Covid pandemic as a slowdown in demand and a property crisis in the country has weighed on its growth prompting policymakers to introduce a raft of fiscal and monetary policy measures.

Now catch your favourite game on Crickit. Anytime Anywhere. Find out how

Read more: Elon Musk says new X users will have to pay to tweet: ‘Only way to stop bots’

Key pointers from data released by China:

  1. Industrial production rose 4.5% in March from a year earlier, versus economists’ forecast of 6%
  2. Industrial output rose 6.1% for the first quarter
  3. Retail sales climbed 3.1%, missing an expected 4.8% gain
  4. Fixed-asset investment expanded 4.5% in the first three months, compared with a 4% expected increase Read more: Tesla layoffs: What CEO Elon Musk wrote in leaked job cuts memo to employees
  5. Property sector continued shrinking, with investment plunging 9.5% in the period
  6. Urban jobless rate dropped to 5.2% last month from 5.3% in February

What Goldman Sachs said on China's economy?

Goldman Sachs noted that the degree of China's government support for households and businesses to spend at home is likely to depend on how Chinese firms fare on international markets as it raised the country's growth forecast, predicting that the 5% target will be met.

“If external demand is strong, then less domestic stimulus is needed. If the property market continues to deteriorate, then more easing measures will be introduced," it said. 

Elevate your career with VIT’s MBA programme that has been designed by its acclaimed faculty & stands out as a beacon for working professionals. Explore now!

See more

Get latest updates on Petrol Price along with Gold Rate , Today Weather and Budget 2024 at Hindustan Times.

SHARE THIS ARTICLE ON
Share this article
SHARE
Story Saved
Live Score
OPEN APP
Saved Articles
Following
My Reads
Sign out
New Delhi 0C
Thursday, June 20, 2024
Start 14 Days Free Trial Subscribe Now
Follow Us On