Markets

China's 2nd-quarter GDP growth steady at 6.9%

China's 2nd-quarter GDP growth steady at 6.9%

The economy grew 6.9% in the April-June period 2017 compared to previous year, at the similar rate during the first quarter, China's National Bureau of Statistics said on Monday.

The result leaves China well placed to meet its 6.5% growth target for the year, though concerns remain over how sharply the economy will slow in the second half.

Information technology was by far the fastest growing sector in the first quarter, a trend that's expected to have continued in the second-the National Bureau of Statistics will release a breakdown of growth by industry on Tuesday.

"But global instability and uncertainties are still relatively large, and the domestic long-term buildup of structural imbalances remains".

The government would continue to deleverage the economy through prudent monetary policy and by reducing leverage in state-owned enterprises, Xi said.

Separately, the NBS reported a 7.6% spike in annual industrial production in June, which was well above May's 6.5% expansion.

Over the half, China produced 419.75 million tonnes of crude steel, up 4.6% on the same period a year earlier.

China's nationwide survey-based jobless rate was below 5 percent in June, with 7.35 million new urban jobs created in the first half of the year.

Meanwhile, retail sales in June increased by 11 per cent compared to the same month in 2016, and a month-on-month increase stood at 0.93 per cent.

And growth in both imports and exports also came in above expectations.

Factory output also picked up in the second quarter, though the 6.9 percent growth for the first half was only a slight pickup from recent quarters.

China is targeting growth of around 9 percent in fixed asset investment for 2017, and expects retail sales to increase about 10 percent. In May, Moody's Investors Service downgraded China's credit rating for the first time in almost three decades, saying it believes the rapid build-up of debt is eroding the country's financial strength.

Part of China's economic health in the second quarter reflected robust exports, with demand beginning to recover in Europe and particularly the USA after a long period of depressed growth.