China Economy Marks Slowest Growth in 25 Years
The Chinese economy grew by 6.9% in 2015, compared with 7.3% in 2014, marking its slowest growth in 25 years.
China’s growth, seen as a driver of the global economy, is a major concern for investors around the world.
The government had set an official growth target of “about 7%” for the world’s second-largest economy.
PM Li Keqiang has said weaker growth would be acceptable as long as enough new jobs were created.
However, some observers say its growth is actually much weaker than official data suggests, though Beijing denies numbers are being inflated.
Analysts said any growth below 6.8% would likely fuel calls for further economic stimulus. Economic growth in Q4 of 2015 edged down to 6.8%, according to China’s national bureau of statistics.
After experiencing rapid growth for more than a decade, China’s economy has experienced a painful slowdown in the last two years.
Some argue that China’s focus on creating an economy driven by consumption is misplaced. They say as the country attempts to rebalance its economy, it should focus on productivity in order to sustain high growth.