China confirmed that GDP grew by 5.2% in 2023

China's economy grew by 5.2% in 2023. This was reported on Wednesday by the National Bureau of Statistics, confirming an unusual early statement made by Prime Minister Li Keqiang the previous day, reports UNN citing Nikkei Asia.

"The result beat the official growth forecast of around 5% set after pandemic restrictions caused growth to slow to 3% in 2022," the report said.

It is noted that the growth rate for the October-December quarter was also 5.2% y-o-y, up from 4.9% in the previous period, as government spending helped accelerate recovery from the COVID-19 pandemic. On a quarter-on-quarter basis, last term's GDP grew by 1%, down from 1.3% in the previous term.

The government is also reported to have resumed reporting on the youth unemployment rate, which had been on hold since it hit a record high of 21.3 percent in June.

The figure was reported to be 14.9% at the end of December, excluding recent graduates looking for work. Overall, the country's unemployment rate remained stable at 5.2%.

Despite China hitting its target, Wednesday's data spooked markets. At one point during afternoon trading, Hong Kong stocks fell more than 4%, hitting their lowest point in more than a year. The Hang Seng Index closed down 3.7%, with technology companies including Alibaba and Meituan leading the losses.

Hong Kong's market has lost more than 10% since the start of the year due to growing concerns about the country's economic outlook. Mainland Chinese stocks also fell on Wednesday.

Supplement

Premier Li Qiang said on Tuesday at the annual World Economic Forum in Davosthat China's economy will grow by about 5.2 percent in 2023, slightly better than the official target set by Beijing.