China’s economy grew by 4.9% year-on-year in the third quarter of 2021, according to data released by the National Bureau of Statistics (NBS) on Monday. This is a slight acceleration from the 4.8% growth recorded in the second quarter, and it suggests that the recovery is continuing despite headwinds from the global pandemic and rising commodity prices..
The NBS attributed the growth to a number of factors, including strong exports, a rebound in domestic consumption, and government support for infrastructure investment. Exports rose by 28.1% year-on-year in the first nine months of 2021, while retail sales of consumer goods grew by 9.7%. Government investment in infrastructure projects also increased by 10.3% in the same period..
However, the NBS also noted that the recovery is still uneven, with some sectors continuing to struggle. The services sector, for example, grew by just 2.3% year-on-year in the third quarter, and employment in the sector remains below pre-pandemic levels..
Despite the challenges, the NBS said that it is optimistic about the outlook for the Chinese economy. The NBS expects GDP growth to reach 8% for the full year of 2021, and it is forecasting growth of 5.5% in 2022..
The Chinese government has taken a number of steps to support the economic recovery, including cutting taxes and interest rates, and increasing spending on infrastructure projects. The government has also been working to contain the spread of the COVID-19 virus, and it has launched a mass vaccination campaign..
The Chinese economy is closely linked to the global economy, and the recovery in China is likely to have a positive impact on other countries. The World Bank has forecast that the global economy will grow by 5.6% in 2021, and it is expecting growth of 4.3% in 2022..
The recovery in China is a positive sign for the global economy, but it is important to note that the recovery is still uneven. The services sector and employment remain weak, and there are still risks from the COVID-19 pandemic and rising commodity prices..
Overall, the Chinese economy is on the mend, but there are still some challenges to overcome. The government is taking steps to support the recovery, and it is optimistic about the outlook for the future..
