China’s economic growth slows to still-robust 7.9%

Business

China’s economic growth slowed in the first three months of the year to 7.9%, compared to a year ago as a rebound from the coronavirus leveled off.

The growth number is still strong, although down from the previous quarter’s explosive 18.3% expansion.

That number was a jump when compared to early 2020, when the economy shut down to fight the coronavirus.

The economy expanded at a 1.3% pace in the April-June quarter compared with the previous three months, the way other major economies report results.

“China’s economy sustained a steady recovery with production and demand picking up,” the National Bureau of Statistics said in a statement.

Manufacturing, auto sales and consumer spending have recovered to above pre-pandemic levels since the ruling Communist Party declared victory over the coronavirus last March and allowed factories and stores to reopen.

Beijing injected extra money last week into the pool available for lending to shore up business and consumer activity as retail spending still lags.

The International Monetary Fund and private sector forecasters expect economic growth of about 8% this year but say it should slow markedly in 2022.