China’s National Bureau of Statistics reported third-quarter GDP growth of 4.6% year on year, slightly higher than expected by economists. This is down from the second quarter’s growth of 4.7%. Other data such as retail sales and industrial production also exceeded expectations. Beijing has faced criticism over reaching its annual growth target of around 5%, but with 4.8% growth in the first three quarters, it is now within reach with extra stimulus in the fourth quarter. The government has implemented support measures to stimulate the economy, including reducing the amount of cash banks need on hand. Chinese officials have continued to introduce additional stimulus measures amid low consumer sentiment and a struggling property sector. China’s Minister of Finance has indicated that the government has room to increase debt and the deficit. The Housing Ministry has announced plans to expand its “whitelist” of real estate projects and accelerate bank lending for unfinished developments to 4 trillion yuan by the end of the year. Despite challenges, there is optimism for growth in the coming years as the government is committed to bolstering the economy.
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China’s third-quarter GDP growth slightly surpasses expectations with a 4.6% increase
