By Zhang Liqun, DRC
The growth rate of China’s GDP in the fourth quarter of 2016 stood at 6.8%, showing a steady economic growth performance.
1. Industrial development showed a tangible growth in a smooth manner. Despite the slight fall of industrial growth, it remained at 6%, equivalent to that since April 2016.
2. Manufacturing investment accounted for about one-third of total investment, constituting a decisive factor to the development of investment growth. Manufacturing investment increased by 4.2% in 2016 and the sales volume of bulk commodities in the fourth quarter was clearly restored. Macro-control needs to continue to moderately expand aggregate demand and further eliminate overcapacity so as to keep the sound development of market sales and business efficiency. The investment of manufacturing industry is predicted to keep a steady growth in the future.
3. Regulation of real estate market has become this year’s focus of work. The government has taken steps to reduce unsold homes while promoting urbanization drive. These measures will ensure a sound and healthy development of and smooth investment for real estate market. It is noticeable that compared with the previous few years, real estate investment has transformed from a factor decelerating investment growth to one accelerating investment boom.
4. The workload of shoring up weak links in infrastructure construction is still heavy this year, but investment in infrastructure projects will not continue to decrease. In summary, market-oriented investment has begun to increase, government-led construction programs will be put in place and a steady investment growth is predicable. China’s economic growth will bottom out and steadily pick up and market demand will increase. China is expected to make even greater contribution to world economy.