China's economy expanded at a steady pace in the second quarter on domestic spending and exports despite measures taken to rein in financial risks.
Gross domestic product grew 6.9 percent year-on-year, the same pace of expansion as seen in the first quarter, the National Bureau of Statistics said Monday. The annual growth was forecast to slow to 6.8 percent.
On a sequential basis, economic growth improved to 1.7 percent from 1.3 percent.
In the first half of 2017, the economy advanced 6.9 percent. The government targets slightly slower growth of about 6.5 percent this year.
The upshot is that the Chinese economy was holding up well going into the third quarter, Julian Evans-Pritchard at Capital Economics, said.
This strength seems unlikely to last, however. The recent crackdown on financial risks has driven a slowdown in credit growth, which will weigh on the economy during the second half of this year, the economist noted.
Data from NBS showed that industrial output climbed 7.6 percent annually, faster then the 6.5 percent increase logged in the prior period. The growth was forecast to stay at 6.5 percent.
In the first half of the year, industrial production grew 6.9 percent.
Likewise, retail sales growth accelerated to 11 percent in June from 10.7 percent in May, while growth was expected to ease to 10.6 percent. In the first half, retail sales advanced 10.4 percent.
During January to June, fixed asset investment increased 8.6 percent, the same pace as seen in January to May period.
by RTT Staff Writer
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