China’s GDP continues to expand
The Gross Domestic Product of the region showed a growth of 4.9 % during the third quarter of the year, when compared to the same period of 2019
China’s gross domestic product (GDP) grew by 4.9 % in the third quarter of the year compared to the same period in 2019, thus linking two consecutive quarters upwards, after the 3.2 % year-on-year expansion observed between April and June.
However, compared to the immediately preceding three months, China’s GDP grew by 2.7 % between July and September, after rebounding 11.5 % in the second quarter.
Specifically, activity in agriculture in the third quarter increased by 3.9 %, while in industry it accelerated to 5.8 % from 4.4 % in the second quarter. In the services sector, activity increased at a rate of 4.3 %, compared to 1.9 % in the previous three months.
Thus, in the first nine months of 2020, the Chinese economy experienced a growth of 0.7 % compared to the same period in 2019, reaching 72.27 trillion yuan. In the first six months of 2020, China’s GDP accumulated a contraction of 1.6 %, with a nominal value of 45.61 trillion yuan.
“We believe growth will continue to pick up in the short term,” said Capital Economics analyst Julian Evans-Pritchard, who expects Beijing’s fiscal policy to remain supportive “until at least early next year,” which it should maintain a strong activity in industry and construction.
K. Tovar
Source: Dailyforex
