Latest News:  


China's growth: Slow but steady

(China Daily)

14:22, July 16, 2013

The GDP data for the first half of the year prove that China's growth is not as bad as some people previously feared. But as the country presses ahead with its industrial restructuring, there could be hard times ahead.

Year-on-year GDP growth eased to 7.5 percent in the second quarter, with the overall first-half growth 7.6 percent, according to the National Bureau of Statistics.

Given the grim foreign trade situation and manufacturing activity index for June, such figures will have reassured market watchers that growth remains resilient considering the ongoing restructuring of the economy. Growth in industrial output, fixed-asset investment and retail sales has remained healthy, which will alleviate fears of a hard landing.

With the short-term uncertainty settling down, the market is playing a guessing game as to the pace at which the authorities will implement the reform agenda. But it is clear the government intends to press on with its reform agenda.

The messages from teconomyhe State Council executive meetings this month showed the authorities are attaching more importance to social development, environmental protection, public services, consumption and financial reform.

In the financial sector, in particular, many expect the authorities to take substantial steps to liberalize interest rates, a move that will make the allocation of financial resources more efficient, thus providing long-term, sustained traction for the country's economic growth.

Such reforms are necessary since they will help promote sustainable growth in the long term, but in the short term they could have an impact on the country's growth performance, especially given the still weak fundamentals.

While the country's second-quarter GDP growth was less than 7 percent if annualized, it was still strong enough to be the envy of the developed economies. However, it will be challenging for the world's fastest-growing major economy.

Yet there is little reason to predict that growth will pick up sharply in the second half of the year given the hands-off stance of central policymakers. And as the country continues to reform its economic structure to make it less dependent on foreign demand and investment and squeeze financial risks, it is necessary to face the possibility that growth could dip even further in the worst-case scenario.

We Recommend:

How did Chinese solar industry go bankrupt?

Born to lead: 2nd gen of Chinese tycoons

Chinese graduates’ unconventional jobs

China's largest railway terminal officially opens

Dazzling gems shine at Beijing jewelry show

Boeing 787 Dreamliner to serve Beijing-Haikou route

New high-speed rail linking Nanjing, Ningbo opens

Jiaxing-Shaoxing Sea Bridge in E China

Chinese investors' happiness and sadness

Email|Print|Comments(Editor:WangXin、Gao Yinan)

Leave your comment0 comments

  1. Name


Selections for you

  1. "Peace Ark" provides medical treatment

  2. Exchange between the PLAN and the CTF-465

  3. Protest held to demand release of prisoners

  4. Rape victim's mother wins labor camp lawsuit

  5. A glimpse of residents' daily life in China's Sansha city

  6. Sea foods, a luxury bite in summer

  7. Rare painted bronze ware excavated

  8. Angelababy covers BAZAAR

  9. History of China's auto industry

  10. Migrant workes' high incomes not that rosy

Most Popular


  1. China's economic growth slows to steadier pace
  2. Investing abroad not easy: Experts
  3. Reinvigorated CCTV gala brings hope for art scene
  4. China's anti-dumping probe is not retaliatory
  5. China's economic growth slows to steadier pace
  6. Washington must overhaul bipolar way of thinking
  7. Why the customer remains the king
  8. Going mobile is the key to business success
  9. Drone strikes only serve to help anti-Americanism
  10. State must control capital: Justin Yifu Lin

What’s happening in China

College student car models show youthful vigor

  1. Beijing metro fare hike 'speculation'
  2. Lushan post-quake work to cost nearly $14b
  3. Probes show dangerous straws on sale
  4. Beijing beefs up flood safety
  5. Rains continue to wreck havoc in China