AEIR 2017

People's Republic of China

GDP growth accelerated to 6.9% in the first half of 2017 from 6.7% in 2016. On the supply side, services remained the main driver, despite real estate and financial services weakening from a high base. On the domestic side, consumption held up well, reflecting wage growth and more generous social spending on health, education, and pensions. Net exports turned around caused by a surge in export demand from developed and developing economies alike for both capital- and labor-intensive goods

GDP growth is projected at 6.7% in 2017 and 6.4% in 2018. Consumption will remain the main growth driver as incomes rise strongly and consumer confidence hits its highest on record. Investment is on a decelerating trend and will likely remain so due to structural and cyclical factors. Sustained improvement in global trade would harbor an upside risk to the growth, while a slower pace of commodity price increases poses downside risk, as it could undercut recently strong export demand from commodity-exporting economies.

Source: Asian Development Outlook 2017 Update, ADB.
Latest Month-Ago Year-Ago
Composite Stock Price Index 1 3.0 (Apr18)3.0 3.0
Broad Money Growth 2 8.8 (Mar18)8.8 9.2
Headline Inflation Rate 3 2.1 (Mar18)2.9 0.9
Industrial/ Manufacturing Production Growth Rate 3 6.0 (Mar18)7.6 0.0
Merchandise Export Growth 3 -2.7 (Mar18)-2.7 44.1
Exchange Rate Index 4 78.1 (Apr18)78.4 85.4
1 Monthly average, local index.
2 %.
3 y-o-y, %.
4 Monthly average, January 2006 = 100, $/local currency.
Source: Bloomberg LP; CEIC database; CEIC Database.