China's Q2 GDP grows 3.2% y/y, beats expectations

Credit: REUTERS/Aly Song

China's economy grew 3.2% in the second-quarter from a year earlier, data showed on Thursday, recovering from a record contraction as lockdown measures ended and policymakers stepped up stimulus to combat the shock from the coronavirus crisis.

BEIJING, July 16 (Reuters) - China's economy grew 3.2% in the second-quarter from a year earlier, data showed on Thursday, recovering from a record contraction as lockdown measures ended and policymakers stepped up stimulus to combat the shock from the coronavirus crisis.

The growth was faster than the 2.5% forecast by analysts in a Reuters poll, and followed a steep 6.8% slump in the first quarter, the first such contraction since at least 1992 when quarterly gross domestic product (GDP) records began.

The economy fell 1.6% in the first six months from a year earlier, the National Bureau of Statistics said.

The world's second-largest economy has been recovering slowly in the past two months, though the bounce from the pandemic-induced downturn has been uneven. The government has rolled out a raft of measures, including more fiscal spending, tax relief and cuts in lending rates and banks' reserve requirements to revive the coronavirus-ravaged economy and support employment.

On a quarter-on-quarter basis, GDP rose 11.5% in April-June, the bureau said, compared with expectations for a 9.6% rise and a 9.8% decline in the previous quarter.

(Reporting by Gabriel Crossley and Kevin Yao Editing by Shri Navaratnam)

((kevin.yao@thomsonreuters.com; +8610 5669 2128;))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Reuters

Reuters, the news and media division of Thomson Reuters, is the world’s largest international multimedia news provider reaching more than one billion people every day. Reuters provides trusted business, financial, national, and international news to professionals via Thomson Reuters desktops, the world's media organizations, and directly to consumers at Reuters.com and via Reuters TV.

Learn More