Editor's note:The article was first published by China Plus on July 15, 2019. The article does not necessarily reflect the views of CGTN.
China's National Bureau of Statistics said on Monday that the country's GDP expanded 6.3 percent year on year in the first six months to over 45 trillion yuan (about 6.6 trillion U.S. dollars). The result was hard-won against the backdrop of global unilateralist and protectionist headwinds. The stable performance was achieved with more substantive progress.
Though the 6.3 percent growth for the first half of the year is a little lower than the 6.4 percent made in the first quarter, meaning China's economic growth slowed in the second quarter, it was in line with the slowing global growth.
The growth remains however within the government's annual target of 6-6.5 percent set for 2019 as the country started shifting gears towards high-quality development.
Major indicators such as the unemployment rate, consumer price index a and producer price index remained stable. The growth of per capita disposable income was 6.5 percent, 20 basis points higher than GDP growth during the period.
More importantly, China's economic restructuring continued in the first half.
A factory in Nanjing, Jiangsu Province, China. /VCG Photo
In terms of the industrial structure, the output of the service sector, which accounted for 54.9 percent of total GDP, rose seven percent year-on-year, outpacing a three percent increase in primary industry and a 5.8 percent rise in secondary industry. The output for high-tech manufacturing rose by nine percent, 300 basis points faster than overall industrial growth.
On the demand side, the role of consumption was further consolidated as it contributed 60.1 percent to GDP growth in the first half. And regional structure has improved thanks to the coordinated advancement in regional development strategies.
The aggregate industrial output of central regions, for instance, increased by 8.4 percent, 350 basis points faster than that in the eastern region. In addition, green development was solidly promoted as the country’s energy consumption per unit of GDP decreased by 2.7 percent.
Taken together, these provide further evidence that China’s economic growth is gaining more momentum with high-quality driving forces. The achievements were made thanks to the joint efforts of the Chinese government and enterprises.
On the one hand, the government has adhered to a proactive fiscal policy and a prudent monetary policy. Measures such as a tax and fee reduction of two trillion yuan (some 294 billion U.S. dollars) this year have helped ensure that the economy operates within a reasonable range.
Xiao Yaqing, chairman of the State-owned Assets Supervision and Administration Commission of the State Council (SASAC) at the press conference for the Second Session of the 13th National People's Congress in Beijing, China, March 2019. /VCG Photo
At the same time, the market-oriented reform of China's state-owned enterprises (SOEs) has taken a critical step, where the strategic restructuring of SOEs continues.
Private enterprises have continued to enter new areas and have transformed traditional sectors with new technologies. China's series of measures to further open its market has won recognition from foreign investors.
In the first six months, foreign investment in the country increased by 7.2 percent year-on-year, which indicates the confidence the international community has in the Chinese economy.
The performance of the Chinese economy in the first half provides further evidence that it has strong resilience and capacity to tolerate risk. The fundamentals for healthy and stable economic development have not changed, with the overall momentum for long-term steady growth likewise unchanged.
The world has every reason to believe that the Chinese economy is capable of achieving its development goals this year.
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