China, on October 24, announced that its GDP (Gross Domestic Product) had risen 3.9 per cent in the third quarter as compared to the same period in 2021. China’s current GDP figure is below its growth target of 5.5 per cent. Moreover, according to experts, China needs to attain a growth rate of 8 per cent to support its economic growth. Notably, China postponed releasing its GDP figures on October 18.
When will China’s economy turnaround?
Government controls and people’s fears to go outside have decimated spending for businesses from local noodle joints and Starbucks stores to Alibaba delivery men. Meantime, many factories are still not working due to a lack of staff, with workers trapped in their hometowns or spending two weeks in quarantine.
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Co-founder of Intercedent, an Asia-focused business advisory firm, John Gruetzner, stated that China delayed releasing its GDP figures to keep it out of headlines during the congress. According to Charles Burton, a former counsellor at the Canadian Embassy in China, the struggling Chinese economy can be “disturbing for Canadian business”. He said that China’s housing crisis and zero-COVID policy had hurt the country’s economy the most.
On October 12, Deputy Prime Minister of Canada, Chrystia Freeland, asked Western democratic countries to give preferences to trade among themselves and limit business interactions with countries, like China and Russia, that are working against their values. These points can be well-adjusted in Canada’s upcoming Indo-Pacific policy.
1). What was China’s GDP growth rate for the third quarter of this year?
China’s GDP growth rate for the third quarter this year was 3.9 per cent.
2). Who is Chrystia Freeland?
Chrystia Freeland is the deputy prime minister of Canada.
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