Date:18/07/2008 URL: http://www.thehindu.com/2008/07/18/stories/2008071855531800.htm

International

China’s GDP up 10.4% in first half

Growth at a steady and relatively fast pace, says official

PHOTO: XINHUA

ALL CLEAR: The algae bloom at the 50-sqkm Qingdao Olympic sailing venue, in Shandong Province, has been cleared, said an official of the Beijing Organising Committee for the Games of the XXIX Olympiad on Tuesday.

BEIJING: China’s gross domestic product (GDP) grew 10.4 per cent to 13.06 trillion yuan ($1.9 trillion) in the first half over the same period last year, said the National Bureau of Statistics (NBS) on Thursday.

The growth rate was 1.8 percentage points lower than the first half last year, or 0.2 percentage points lower than the first quarter of this year.

The GDP included 1.18 trillion yuan generated by the primary sector, up 3.5 per cent, 6.74 trillion yuan by the secondary sector, up 11.3 per cent, and 5.14 trillion yuan by the tertiary sector, up 10.5 per cent. The growth rates were 0.5 percentage points, 2.4 percentage points, and 1.6 percentage points, respectively, lower than the first half last year.

The bureau’s chief economist, Yao Jingyuan, said the double-digit GDP growth indicated China’s economy was still growing at a steady and relatively fast pace. “The cooling of GDP growth indicated the ’s macro-economic policy to prevent the economy from overheating has paid off,” said Mr. Yao.

Last year, the GDP grew 11.4 per cent year-on-year with the risks of spiralling inflation and economic overheating rising. To cool the breakneck growth, China fixed its GDP growth target at 8 per cent for 2008. The slowing world economy and weaker demand on international markets also adversely affected the economy, Mr. Yao added.

Painstaking effort

NBS spokesman Li Xiaochao said on Thursday the economic growth was “in line with macro-economic control targets” and was “achieved with painstaking efforts”. The GDP grew by 11.3 per cent in the fourth quarter last year, 10.6 per cent in the first quarter this year and 10.1 per cent in the second quarter.

“China avoided major ups and downs in economic growth in the first half of the year, with growth slowing steadily,” said Mr. Li. With ongoing industrialisation, China’s economy would remain robust and vigorous, as the need to narrow regional disparities would continue providing opportunity for growth. — Xinhua