Last year, the Chinese economy grew by 3% to 120 trillion yuan. This is below the 5.5% target, but still above growth in the US, Japan and Germany. For this year, despite the weakness of the global economy. We expect a quick recovery
Last year, China set a growth target of 5.5%. Partly due to lockdowns and a weak global economy, 3% growth was achieved with a GDP of 120 trillion yuan. However, it scores better than the United States and Japan, which are from it International Monetary Fund It expects its growth of less than 2% as well as Germany expects GDP growth of 1.9%. He. She International Monetary Fund Developed countries are also expected to advance by 2.4% last year. The divergence shows that China continues to play its role as a locomotive and stabilizer in the global economy. Looking at the past three years, despite Covid, China’s GDP has increased by 4.57%. In terms of per capita GDP, China remains above the $12,000 mark or close to high-income countries marking two years in a row, according to world bank Definitions.
Official statistics also indicate an increase in industrial added value by 3.6% and fixed investment by 5.1%. Retail trade fell 0.2%, but remained above 40 trillion yuan for the second year. Real estate investment fell 10 percent in 2022 as part of the real estate crisis that has sent home sales down 24 percent by floor area and 27 percent by dollar value.
Foreign investment in China rose for the third consecutive year in 2022, rising 8% to $189 billion, according to the Ministry of Commerce. In manufacturing, these investments briefly increased by 46%. high-tech increased by 28%; Projects worth more than $100 million, up 15%. The three largest investors are South Korea with 64%, Germany with 52% and the United Kingdom with 40%. Vice Premier Liu He promised in Davos this week that China’s door would only open wider.
China hopes that it can achieve growth of between 5 and 5.5% this year. ANZ Research Strategist Xing Zhaopeng predicts a V-shaped recovery. UBS Chief economist Tao Wang expects a recovery this year to 4.9%, led by consumption and helped by stabilization in real estate.
However, the economy will face serious challenges, especially in exports due to weak global demand. As a result, China should focus more on domestic consumption and investment, analysts say. It is hoped that retail business will increase by 10% or 3.8 trillion yuan and investment in Infrastructure and in manufacturing by 8 to 10%. Chief Economist Lian Bing Fan Zhixin Investment Research Institute Expect growth above 5.5%, and the real estate sector is expected to stabilize after the second quarter. the world bank It expects global growth to slow to 1.7% this year and US GDP to increase by just 0.5%.
Global Times, Financial Times
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