China revised down its 2014 GDP, added concerns about slowing economy

China revised down its 2014 GDP, added concerns about slowing economy

7 September 2015, 09:42

China trimmed its growth rate for 2014 to 7.3% from 7.4%, in a move likely to add to concerns about the world's second largest economy.

On Monday the Chinese statistics bureau said that the country's gross domestic product for 2014 totaled 63.614 trillion yuan, or about $10 trillion, down 32.4 billion yuan from its initial estimate in January of this year. The number could be revised one more time when it releases final results in January 2016, the body said.

Although the difference represents less than 0.1% of China's overall economy, the new number is an evidence China was struggling last year to meet Beijing's official growth target and it failed to achieve it. Last year it was about 7.5%.

For 2015, China has set a growth target of about 7%, which is already the slowest pace in 25 years. The country maintained that pace in the first half of the year, but data released in August suggested China's economic growth was weakening even further, contributing to a fall in global markets in recent weeks.

Chinese authorities have sought to reassure domestic and global investors that the economy is still advancing.

On Monday, its top economic-planning body said the country is on track to meet the government's annual growth target following a string of supportive policies realized by the government forces.

The National Development and Reform Commission said in a statement that indicators ranging from electricity consumption to train freight to housing prices signal the world's second-largest economy is regaining ground.

Over the weekend, Zhou Xiaochuan, China's central banker, said that the "correction in the stock market is almost done" and that the yuan is getting steadier after last month's devaluation.

On Sunday, the China Securities Regulatory Commission said China's state-owned margin loan provider will keep stabilizing the market when dramatic price swings lead to systematic risks. China's top stock-market regulator also signaled it would study the creation of what is known as a circuit-breaker system to restrain sharp daily trading moves.

The country often revises its previous GDP figures. Last year it elevated its estimate of 2013 economic output based on a new survey.

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