China reports speak positively of the economy growth of 2.3% in 2020, expanding to US$15.42 trillion, while the rest of the world grappled to contain the novel coronavirus pandemic.
According to the National Bureau of Statistics, the gross domestic product (GDP) rose by 6.5% in the Q1 last year, surpassing analysts’ predictions. In the local currency, the GDP passed from 100-trillion yuan to 101.5986 trillion yuan, added NBS. The growth owes its recovery partly with global exports of medical supplies, especially associated with the coronavirus.
However, activity contracted by 6.8% in Q1 with nationwide lockdowns which prompted shops and factories to be closed. In March, the nation saw a 3.2% growth after declaring control over the COVID-19 virus, showing progress ahead of other economies.
Apart from travel restrictions, the majority of the country remains unaffected this month.
Yet, punctuating the global impact of COVID-19, China’s GDP last year was at its weakest since 1976. Highlighting the slump in consumption of goods, the retail spending fell 3.9% in 2020 as demand slowed. The proportion of online sales of consumer goods remained steady at around 1/4th, despite the rapid growth of 14.8%.
Forecasting the current situation, the International Monetary Fund (IMF) expects an economic growth to rise above 8% this year with vaccines and subsequent recovery in external demand.