China’s GDP grew 6.9 per cent in the second quarter, above the government’s target for the year of 6.5 per cent, indicating that the world’s second largest economy would comfortably meet its 2017 growth target amid concerns over high debt levels.
Xing Zhihong, spokesperson of China’s National Bureau of Statistics (NBS), said China’s economy is operating within a reasonable range, maintaining stable, coordinated and sustainable development.
In the second quarter, GDP of the world’s second largest economy held steady at 6.9 per cent year on year, flat from the first quarter.
It is “laying a solid foundation for achieving the annual target,” he said.
The 6.9 per cent growth rate in the second quarter is faster than expected, prompting the financial consultancy agencies to revise China’s growth rate upwards.
Nomura Securities said in a report after today’s data release that given the data, it is raising the forecast for the Q3 growth to 6.8 per cent from the previous 6.6 per cent, and the annual growth forecast to 6.8 per cent from 6.7 per cent.