- China’s economy grew 5.3% in the first quarter of 2024, beating analysts’ expectations.
- Despite this, retail sales and industrial production in March were lower than expected.
- China’s real estate market struggles persist, with first-quarter new home sales falling nearly 31% from a year ago.
China recorded robust economic growth in the first quarter of 2024.
The world’s second-largest economy grew 5.3% in the first quarter of this year compared to last year, according to the National Bureau of Statistics, beating the 4.8% growth forecast by analysts polled by Bloomberg and the 5.2% growth forecast during the first quarter. fourth quarter 2023.
“We have made a good start,” Sheng Laiyun, deputy director of the BES, said at a press briefing in Beijing, according to Bloomberg. He said the industry was a significant contributor to growth, contributing more than a third of the first quarter’s growth.
Despite these optimistic figures, a closer look at the numbers indicates that challenges remain.
Retail sales in March rose 3.1% from a year ago, missing Bloomberg’s forecast of 4.8% growth. Industrial production for March also missed forecasts, coming in at 4.5%, well below the 6% expected by analysts.
In particular, China’s real estate market continued to be in disarray amid a debt crisis, with new home sales by value in the first quarter falling almost 31% from a year ago.
Notably, the data does not include China’s youth unemployment rate, which reached a record high of 21.3% in June 2023 before Beijing revamped the measurement methodology to exclude full-time students.
China has a growth target of around 5.0% this year.
This is a developing story. Please check again for updates.
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