China’s 3Q GDP Expands 4.9%, Raising Hope on Demand Recovery

China’s economy posted a continuous recovery from the Covid-19 pandemic in the third quarter, up 4.9% from a year ago, according to the National Bureau of Statistics (NBS) data released on Monday (Oct 19).

 

The GDP expansion during July-September despite missing a projection of 5.2% by Chinese economists, brought China’s economic growth for the first nine months of 2020 to 0.7% compared to a year earlier.

 

Retail sales increased 0.9% in the third quarter, but for the first nine months recorded a contract 7.2%.

 

Industrial production increased 6.9% in September from a year ago, bringing total growth for the first nine months to 1.2%.

 

Meanwhile, the official urban surveyed unemployment rate outlined lower in September to 5.4%.

 

China’s economy has been regularly revived from the sharpest contraction of 6.8% in the first quarter of this year. Economists and policymakers across the world expected a robust recovery in China to help restart demand as economies struggle with lockdowns and a second wave of coronavirus outbreak.