China's economic recovery holds on, remaining an indispensable engine of global growth: Foreign Ministry
Published: Aug 16, 2023 06:39 PM
Lujiazui Photo:VCG

Lujiazui Photo:VCG

China's steady economic recovery holds on, acting as an indispensable engine for the global economic progress, while the nation has been taking active measures to tackle the challenges, China's Foreign Ministry said on Wednesday, refuting Western media hype about China's economic slowdown to risk the world's economic development. 

China's GDP grew by 5.5 percent year-on-year in the first half of 2023, faster than the 3 percent growth in 2022 and the three-year average growth of 4.5 percent from 2020-2022 during COVID-19 pandemic, and the 5.5 percent growth is higher than the US' growth by three percentage points. In July, the IMF projected China's economy to grow 5.2 percent in 2023 and contribute to one-third of the world's growth. 

Wang said that China's consumption and industrial upgrading have played a vital role in further driving up the economic recovery, while the trade still remains its major advantages with a strong resilience, despite the impact of contracting external demand. 

For instance, the nation's domestic demand in the first six months of 2023 contributed 110.8 percent to China's economic growth, a year-on-year increase of 59.4 percent points. Of which, the consumption recorded an increase of 46.4 percentage points and contributed 77.2 percent. 

In terms of the industrial upgrade, high-tech industrial investment in scientific research increased by 11.5 percent year-on-year and recorded a year-on-year increase of 23.1 percent for technical services investment in the first seven months, Wang noted.  

The combined exports for electric vehicles, lithium batteries and solar panels increased 61.6 percent in the first half of the year, and the share of China's exports in the international market has remained largely stable from January to July.

The global economic recovery is sluggish amid multiple challenges such as high inflation, unstable financial market and rising debt pressure, Wang said. He added that China has taken active measures to address the challenges with the results now being seen. 

Wang noted that Western media and politicians hyping about China's difficulties during the recovery phases will be eventually refuted by the reality, stressing that China's economy remains resilient with a great potential and vitality while the nation has the confidence and ability in achieving the pre-set target for 2023.

Responsible Chinese government agencies have rolled out wide-ranging measures covering various aspects in a bid to bolster the consumption, supporting the private economy and optimizing the business environment to attract global investors.

For instance, Chinese officials on Monday vowed to thoroughly implement newly issued measures to boost foreign investment in China, and expand market access for foreign investors in key areas, including relaxing restrictions on foreign investment in listed companies. The State Council, China's cabinet, on Sunday issued a 24-point guideline to optimize the business environment for foreign investors. 

In July, China's National Development and Reform Commission (NDRC), the top economic planner, unveiled 20 administrative measures to spur domestic spending as the authorities aim to expand domestic market demand and ramp up high-quality economic development. The NDRC also said in July that it will further build up mechanisms and improve policies to spur the development of private investment.

Global Times