The fact that the real GDP of China has for the fourth quarter in 2019 come in at a level of 6% has not been a surprise to anyone.
This has taken their growth for the complete year to be at a level of 6.1%. This figure is the lowest it has been in the last 29 years but still ended up being above the barrier of 6% which is an important barrier psychologically for the country however the experts feel that there is not much reality in it as there wasn’t any way they would have let the rate fall anywhere below the levels of 6%.
Still the figures which have been concealed with the figures had been a worrying, bleak outlook for the economy of China which is seemingly a lot weaker than the data headline is indicating.
The previous year had been one that was a challenging one for China. Due to rapidly spreading swine flu of Africa which had cut the official hog stocks by an approximate level of 41%, the consumption of pork had collapsed and the prices of foods had therefore risen up. The figures which had come in the month of December had shown the broader levels of inflation running at the levels of 2.9% with the prices of food being 9.2% which is the biggest increase in a year since the year 2011.
While there is a rise in the credit for real estate and the building markets have been booming, there is not much evidence of the robust growth in the industrial and manufacturing sectors. In the year 2019, the output of clothes had been 6%, the machine tools for metal cutting in the year had been 19%, the equipment for power generation had been 15% and the packaging equipment had been 5%.