China’s economic growth topped expectations in the first quarter of the year, official data showed Thursday, even as the global economy reels from the fallout of war in the Middle East.
Gross domestic product in the world’s second-largest economy expanded 5.0 percent year-on-year in January-March, according to data published by the National Bureau of Statistics (NBS). The reading was slightly higher than an AFP forecast of 4.8 percent based on a survey of economists.
Beijing is eyeing overall economic growth this year of 4.5-5.0 percent — the lowest in decades. A years-long crisis in the property sector and a persistent slump in domestic spending have left leaders reliant on exports to meet growth targets. NBS data also showed Thursday that retail sales grew 1.7 percent on-year in March, missing a Bloomberg forecast of 2.4 percent.
Industrial production rose 5.7 percent, the NBS said, beating a Bloomberg forecast of 5.3 percent but slowing from 6.3 percent in January and February combined.
The closely watched data comes as global energy prices surge in response to the US-Israeli war on Iran, which has stymied shipping through the crucial Strait of Hormuz, through which a fifth of world oil and gas passes.
Experts say China’s diversified energy supply shields it from immediate shocks, though a potential global downturn caused by the war could weaken demand for its exports.
