According to China's trade data, the country's economy has slowed down by 4.9 percent due to muted global demand, deflationary pressures and an ailing property sector. The previous quarter witnessed a growth of 6.3 percent.
On a quarterly basis, the economy grew by 1.3% in the third quarter, compared to 0.8% growth in the April-to-June quarter. The Chinese government in recent months has unveiled a raft of policy support measures to shore up the economy, including infrastructure spending, cutting interest rates and easing curbs for home-buying in an attempt to revive the property sector.
China’s trade data, released earlier this week, showed that exports and imports continued to decline although they contracted at a slower rate than previously. Beijing is aiming for 5% economic growth this year. Analysts estimate that China is likely to reach its goal, although that growth is likely to slow to 4.5% in 2024.
Earlier this year, growth was boosted as people flocked to shopping malls and restaurants after nearly three years of “zero-COVID” restrictions were removed in late 2022. However, growth from the post-pandemic recovery fizzled out sooner than expected.
Retail sales, an indicator of consumer demand, rose 5.5% in September from the same period in 2022. Industrial output, which measures activity in the manufacturing, mining and utilities sectors, rose 4.5% in September compared to the same month a year earlier — a rate of growth similar to last month’s.
(With inputs from AP)
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