China’s economic indicators for August revealed cautious improvement as retail sales and industrial production saw modest gains.
Government measures, including interest rate cuts, appeared to be having some positive impact, even though concerns about the real estate sector and banking industry linger.
Despite these developments, foreign economists remained cautious about the nation’s economic trajectory, with the real estate sector remaining a persistent risk.
Property investment plunged nearly 20% year-on-year (y-o-y) in August, and falling apartment prices impacted construction activity.
Prices of new apartments in major Chinese cities declined, although local governments pressured developers not to lower prices further.
Existing home prices dropped significantly, while rents also fell, affecting construction and related sectors, which make up a significant portion of the economy.
Banks faced challenges with loans to property developers, some of which had defaulted, and local governments involved in real estate.
The People’s Bank of China announced measures to ease banks’ reserve requirements and stimulate credit, primarily for local infrastructure projects.
Despite property woes, investment in fixed assets increased by 3.2% for the first eight months of the year, with infrastructure and manufacturing investments offsetting property-related declines.
Semiconductor production surged by 21.1% (y-o-y), with increased government support due to export restrictions.
Retail sales rebounded in August, rising by 4.6% (y-o-y), partly due to higher energy prices. However, this improvement was influenced by the previous year’s stringent Covid-19 measures, indicating a shift in consumer spending patterns.
A main reason retail sales rebounded was that a year ago, people in China were still living under stringent “zero Covid” measures that restricted their activity.
Beer and wine production dropped from a year earlier, while output rose for bottled water, carried by many Chinese people during outdoor activities, and production of fruit and vegetable juices climbed sharply.
Tan See Leng: Co-investing CPF in GIC risks interest rate fluctuations
Netizens support gov’t decision to bring Taylor Swift to S’pore in exclusive concert deal
Former Transport Minister S. Iswaran granted extension on overseas trip amid corruption charges
Singapore to increase retirement age to 64 and re-employment age to 69 by 2026
CCE lesson on Gaza conflict to be customized for varied age groups, says Chan Chun Sing
Taylor Swift’s grandmother revealed to have S’porean connections
Singapore increases minimum salary for Employment Pass to S$5,600 and S$6,200 for financial sector
Pritam Singh clashes with SPS Chua on insinuations over NCMP Leong’s POFMA-ed post
Edwin Tong: Govt “moved fast and early” to secure Taylor Swift show in Singapore, declines to reveal amount spent
Spanish vloggers robbed, sexually assaulted by seven men in India sparks outrage
Temasek-backed Eat Just pauses cultivated meat production in Singapore amid challenges
Singapore’s mainstream media remains mum on Li Shengwu securing tenure at Harvard
Singapore1 week ago
Gilbert Goh challenges MOE on Israel-Hamas classroom narrative
Politics1 week ago
Leong Mun Wai steps down as PSP Secretary-General over POFMA directive received
Opinion3 days ago
Why isn’t Minister Edwin Tong issuing POFMA Correction Direction against the Thai PM or Bangkok Post?
Singapore1 week ago
MOE responds to critiques on Israel-Hamas conflict education
Singapore3 days ago
Minister Edwin Tong refutes high spending claims on Taylor Swift’s Singapore concerts
Politics2 weeks ago
SDP Chief Chee Soon Juan receives POFMA order for comments on HDB policies
Comments2 weeks ago
Netizens amused by ‘washrooms basic cleaning’ course on SkillsFuture
Comments3 days ago
Netizens flood LHY’s Facebook with congrats as Li Shengwu secures tenure at Harvard