China GDP Picks-Up in Fourth Quarter

.

China GDP Picks-Up in Fourth Quarter

China has come out with GDP slowdown. Fourth quarter GDP has been released which showed that China has just missed the expected rough GDP for this quarter. Everything seems fine for China right now.

According to the figures, China grew by 7.9% in this quarter. Finally annual growth has been 7.8% for 2012. Earlier, a prediction said that from 2012 to 2014, 7-8% increase would be seen. This target has been met. This quarter has also seen an increase of GDP from 7.4% in third quarter.

Fitch has come up with a fact that debt is posing a problem for China. This will result in negative `AA `rating and also burdens sovereign profile. It says that data shows that China needs to rebalance its economy.

China has many challenges in front of them. One of the problems is a restriction that is seen on capital funding. There is lack of activity from financial systems in the existing burden because of bank liquidity. China is at a risk of structural current account deficit. On consumption terms, China has not witnessed any improvement since years.

For future growth of economy, it is required that less investment constraints are seen. Rebalancing of the economy is required urgently by China.

 


Latest News

Video Shows Baby Turtles Heading to Sea
Bear Stearns, Alan 'Ace' Greenberg, dies at 86
Former U.S. official Says President Obama Could Restrain Corporate 'Inversions'
As U.S. Stocks Ascend, NYC Pension Funds Report 17.4%  Returns on Investments
Food Scandal in China, Parent Company to Investigate Matters
Wal-Mart’s New Fix-it Man Has Never Worked in U.S Before
Obama Steps Up Drive to Stop Tax Loopholes for  “Corporate Deserters”
Widening Quarterly Losses Pull Down Amazon Shares
New Zealand Once Again Raises Its Interest Rate Now to 3.5 Percent
UN Human Development Report Points at Inequality for Slow Progress
Facebook Perched to Reach a Record High After Heavy Quarterly Gains
July HSBC Survey Reveal China PMI at All Time High in 18-months