China’s economy grows 4.9% during Q3

Hong Kong: China’s economy slowed in the third quarter, amid muted global demand, deflationary pressures and an ailing property sector. The world’s second-largest economy grew 4.9 per cent year-over-year in the July-September quarter, beating the 4.5 per cent forecast by analysts but slowing from the 6.3 per cent growth in the previous quarter, according to official data released on Wednesday. On a quarterly basis, the economy grew by 1.3 per cent in the third quarter, compared to 0.8 per cent growth in the April-to-June quarter. For the first nine months of the year, China’s economy grew 5.2 per cent compared to the same period last year, suggesting it is on track with Beijing’s target of about 5 per cent growth for 2023. Officials from the National Bureau of Statistics cautioned that the external environment was becoming “more complex and grave” and warned that domestic demand remained insufficient. Stephen Innes, managing partner at SPI Asset Management, said that although the numbers beat expectations China’s economy is “not out of the woods by any means”. “This growth suggests a modest improvement in the Chinese economy. However, there are ongoing calls for increased policy support to maintain consistent growth, as there are concerns about the sustainability of the recovery,” Innes said in a note.