China has experienced its weakest growth in 25 years. It’s economy grew last year by just 6.9% compared with 7.3% in 2014.
The year-on-year growth figure for the December quarter of 6.8% was the lowest since the fallout from the global financial crisis was in full-swing in 2009.
With China seen as a driver of the global economy the slowdown is ringing alarm bells around the world.
According to its National Bureau of Statistics the sluggishness in both property and the stock market are the underlying problems.
A reduction in domestic and external demand have weakened investment against a backdrop of factory over capacity.
The government has tried to move towards an economy led by consumption and services, rather than one driven by exports and investment. But managing that transition has been challenging.
The net result has been a jobless rate running at 5.1 % and its the migrant workers from the rural areas who are bearing the brunt.