China to apply unified GDP calculation method

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China will put in place a unified GDP calculation system in 2019 that will see the National Bureau of Statistics (NBS) take over data computation from local authorities.

Unified calculation will replace the current system in which national GDP and regional data are calculated separately by the NBS and regional offices.

Vice minister of NBS Li Xiaochao said on Monday that discrepancies between national and regional GDP data may hinder accurate understanding of the regional economy and harm the government's statistical credibility.

According to Li, the government is working to unify accounting systems at national and regional levels to narrow the gap between national and regional GDP data.

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The NBS will work with regional authorities and statistical agencies to conduct research on methods of collecting and calculating regional GDP data, he said.

The government has promised zero tolerance for fabrication of economic data. Earlier this year, northeast China's Liaoning Province admitted that economic data had been falsified from 2011 to 2014.

Despite the many imperfections in statistical methodology, policymakers rely heavily on the key economic indicators to adjust macro-controls in the economy.

Official data showed Chinese economy's strong resilience in the first three quarters with GDP expansion steady at 6.9 percent year-on-year.

Source(s): Xinhua News Agency