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Lift quality of economy in China

SOURCE:DOINGBUSINESSINCHINA.ORG   TIME:2016-05-26

 


Lift quality of economy in China


Recent figures have shown that the Chinese economy has generally seen stable growth with deepening supply-side structural reforms, said an article published on May 16 in People’s Daily.
Meanwhile, measures have been taken to expand total demand in the first four months of this year, contributing to economic indicators being within expectations, Guo Tongxin, an official from the National Bureau of Statistics, said.

First, consumption and the services sector have served as the main engines for economic growth, said Guo.
“The April data is further evidence that the national economy, since the start of this year, has grown mainly on domestic demand led by consumption, and that industrial growth is mainly supported by the services sector,” Guo said.
That is a positive development of structural adjustments to the economy and industrial upgrading, he said, highlighting progress in such sectors as IT, environmental protection, housing, tourism, culture, health and sports.
Final consumption has contributed a staggering 84.7 percent to economic growth in the first quarter of this year, up 22 percentage points from the same period last year, he said.
The value added of the service sector expanded 7.6 percent in the first quarter, 1.8 percentage points faster than the secondary sector, accounting for 56.9 percent of gross domestic product, or 19.4 percentage points higher than the secondary sector. Its contribution to economic growth reached 63.5 percent, 29.3 percentage points higher than the secondary sector, according to Guo.
Second, streamlining government administration and the recent introduction of a value-added tax has stimulated market vitality, contributing to early signs of positive results from supply-side structural reforms, Guo said.
Newly registered enterprises exceeded 1.57 million from January to April, up 27.5 percent from the same period last year, with about 80 percent of them in the services sector.






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