China’s economic growth rate continues to slow.
Between April and June year-on-year growth was 7.6 percent – down from 8.1 percent in the first quarter. That was the slackest pace in more than three years.
But analysts believe Beijing’s stimulus efforts are beginning to stabilise the economy.
Standard Chartered’s Head of Research for Greater China Stephen Green said: “We’re definitely in a slowdown and the data today suggests we have slowed down considerably this year. I think it’s not too much to worry about. Seven to eight percent is probably a reasonable expectation for China in the next five to 10 years. It would be good to remember we’re already a very big economy.”
China’s government is seeking a middle path – trying to avoid boosting inflation with stimulus measures but also anxious that slower growth does not lead to job losses.
There is much debate among analysts as whether the slowdown in the world’s second-largest economy has bottomed out and the country has avoided a hard landing.