Athira Sethu
Kochi, 17 January 2025
China’s economy expanded 5.4% in the fourth quarter of 2024 compared with the same period last year, official data showed on Friday. That was better than analysts had forecast and helped the country achieve its annual growth target. Analysts had forecast a 5.0% expansion for the fourth quarter, which would have been an improvement from the third quarter’s 4.6%. That would be the fastest expansion since the second quarter of 2023.
China’s economy expanded 5.0% in the whole year of 2024, versus the government’s around-5% target. Analysts had estimated a smaller gain of 4.9%. Quarter by quarter, the economy increased 1.6% in the October-to-December period, matching forecasts and better than the 1.3% increase seen in the previous quarter.
Strong growth in the fourth quarter has partly been a result of government measures to strengthen the economy. Since September 2024, China has issued a number of stimulus policies for the purpose of boosting economic growth. These have enhanced business activities and consumer spending in such key sectors as manufacturing and retail. The government has further pledged to continue its support for growth next year.
Besides, there is uncertainty over the United States’ economy, placing pressure on China. As Donald Trump readies himself to return to the White House, he has put forward new tariffs on Chinese goods that can affect China’s exports and overall economic growth. China’s economy remains intact, and the government is committed to further moves toward ensuring stable growth within the near future.
