**China’s economy grew 6.4% in the fourth quarter of 2022, beating expectations and easing concerns about a sharper slowdown.**.
The figure, released by the National Bureau of Statistics on Tuesday, was higher than the 6.3% growth forecast by economists in a Reuters poll. It also marked a rebound from the 4.9% growth in the third quarter, which was the slowest pace in nearly three decades..
For the full year, China’s economy grew 2.9%, the slowest pace since 1976, when the country was in the midst of the Cultural Revolution. The government had set a target of 5.5% growth for 2022, but this was widely seen as unachievable due to the impact of the COVID-19 pandemic and other headwinds..
**The better-than-expected growth in the fourth quarter was driven by a rebound in consumer spending and a strong performance by the services sector.** Retail sales grew 4.6% in December from a year earlier, the fastest pace in six months. The services sector expanded 6.1% in the fourth quarter, up from 5.4% in the third quarter..
**However, analysts cautioned that the outlook for the Chinese economy remains uncertain.** The country is facing a number of challenges, including a shrinking labor force, rising debt levels, and an ongoing trade war with the United States..
**The COVID-19 pandemic is also continuing to weigh on the economy.** The government has recently lifted its strict zero-COVID policy, but there are concerns that this could lead to a surge in cases and further disruptions to economic activity..
**Despite the challenges, the Chinese government is taking steps to support economic growth.** The central bank has cut interest rates and increased lending to businesses. The government has also announced a number of fiscal stimulus measures, including tax cuts and infrastructure spending..
**Analysts say that the government’s efforts are likely to help boost growth in the near term.** However, they caution that the long-term outlook for the Chinese economy remains uncertain..
**The following are some additional details from the National Bureau of Statistics report:**.
* The industrial sector grew 4.8% in the fourth quarter, down from 5.6% in the third quarter..
* The construction sector grew 2.6% in the fourth quarter, down from 4.9% in the third quarter..
* The agricultural sector grew 2.3% in the fourth quarter, down from 3.5% in the third quarter..
* The unemployment rate in urban areas was 5.5% in December, unchanged from the previous month..
**Overall, the data suggests that the Chinese economy is recovering, but the outlook remains uncertain.** The government will need to continue to take steps to support growth and address the challenges facing the economy..
