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China's GDP grows 11.9% in Q1 2010

0 CommentsPrint E-mail Xinhua, April 15, 2010
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China's gross domestic product (GDP) grew 11.9 percent year on year in the first quarter to 8.06 trillion yuan (1.19 trillion U.S. dollars), the National Bureau of Statistics (NBS) announced Thursday.

The increase is 5.7 percentage points higher than the same period last year when the economic growth slowed to 6.2 percent, the lowest in a decade.

It also accelerated from 10.7 percent in the fourth quarter.

"With the implementation of the stimulus package to combat the global financial crisis, the Chinese economy achieved a good start this year as the recovery momentum continues to consolidate, laying a solid foundation to meet the annual economic target," NBS spokesman Li Xiaochao said.

"The 11.9 percent growth in the first quarter is largely a result of last year's low comparison base, and the government's stimulus," Li said.

He noted the economic conditions remained "very complicated" with many difficulties still existing.

"The world economy is gradually reheating in an unbalanced manner and faces uncertainty, as commodity prices rose sharply and many countries reported sovereign debt crises," he said.

The severe drought in southwest China and the rapid price increase of industrial products were challenges to achieving 8 percent annual growth, he said.

"Although the task is daunting and the difficulties are still there, 8 percent growth could be realized this year," he said.

In response to questions about the continuation of the stimulus package, Li said the government would keep the economic policy stable and consistent as problems and difficulties remain.

"We will also make policy-setting more flexible and targeted according to developments, such as the increasing cost pressures for many businesses," he said.

The proactive fiscal policy and moderately easy monetary policy would continue, he said.

 

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