China's economy, the world's second largest, grew both less than expected and at a slower pace than in the previous quarter in the second quarter of this year.
During the last quarter, the country's gross domestic product rose by 4.7 percent compared to the same period a year ago, when it was expected that this indicator would reach an average of 5.1 percent. In the first quarter, the annual increase was 5.3 percent.
It was the weakest annual advance since the first quarter of 2023, due to a continued slump in real estate, weak domestic demand, a weakening yuan and trade friction with the West.
Meanwhile, China's quarterly gross domestic product growth more than halved, from 1.5 percent to just 0.7 percent, compared with forecasts for an average of 1.1 percent.
The economy grew by five percent in the first half of the year, and the Chinese government is aiming for around 5 percent GDP growth this year.
In June alone, economic indicators mostly showed a slowdown – retail sales grew the least in almost a year and a half (annual growth slowed from 3.7 percent to two percent, expected – 3.3 percent), and industrial production growth was the lowest in 3 months (decreased from 5.6 to 5.3 percent , expected – 4.9 percent). The unemployment rate remained unchanged at five percent, while the annual growth rate of long-term investment fell from four percent to 3.9 percent.
