China’s economy bounced back sharply in 2021, gobbling up the strongest growth in a decade after a resurgence in exports, however, the economy appears to have slowed down later last year amid a ripple effect of Evergrande collapse alongside a softening in consumers’ spending, Government data had unfurled earlier on Monday.
Aside from that, despite a 1-1/2-year low fourth-quarter growth alongside a meltdown in property industry aside from disappointing retail sales, the world’s second-largest economy seems to be well en-route to be crowned as the world’s largest in less than half a decade, suggested analysts.
Besides, Monday’s Government data came forth shortly after the Reserve Bank of China had slashed benchmark borrowing costs for the first time since early-2020s in a bid to inject a shot in the arm of the economy. Nevertheless, latest upbeat economic data from the Chinese Government came forth even as the world’s second-largest economy has been grappling with a hibernation in real estate sector alongside sporadic outbreak of Covid-19 cases.
China’s economy grows by the strongest pace in a decade last year
According to Government data, China’s economy expanded by 8.1 per cent last year, marking off the strongest growth since 2011 which also beats an analysts’ forecast of 8.0 per cent.
The Government was expecting an annual growth of above 6 per cent following a 2.2 per cent growth in 2020, the weakest in 44 years. In the latest flashpoint of a strengthening in Chinese economy which is housing a propitious growth momentum, the country’s GDP (Gross Domestic Product) growth came in at 4.0 per cent, beating an analysts’ forecast.
However, stressing an upscaled pressure on Chinese Government to maintain its growth momentum, head of the NBS, Ning Jizhe said in a news conference, “At present, the downward pressure on China's economy is still relatively big, and growth of residents' employment and income is restricted”.