China’s GDP dips to 4.9% in Q3
China’s economic growth continued to decelerate as its Gross Domestic Product (GDP) came in at 4.9% in Q3 from last quarter’s 7.9%, according to the National Bureau of Statistics.
The year-on-year GDP growth rate for the third quarter is below the median 5% expansion forecasted by 29 economists in a Nikkei poll earlier this month
The declining economy was affected by high commodity prices brought on by real estate company Evergrande Group’s debt crisis, further risking the property and banking industries in the country.
NBS’ data also shows a weak overall activity, especially in manufacturing and consumer spending.
September’s retail sales of consumer goods increased by 4.4% from August’s 2.5%. However, it was still well below the double-digit growth that the country had recorded in the first half of the year.
On the other hand, the Chinese government is expecting its economy to increase by six percent at the end of the year. The International Monetary Fund (IMF) projects an 8% GDP growth while the Asian Development Bank released an 8.1% forecast.
