China’s economy seen returning to growth in second-quarter, more support needed to bolster

first_imgData on Tuesday showed the country’s imports in June rose for the first time this year as stimulus boosted demand for building materials, while exports also edged up as overseas economies reopened after lockdowns.While China’s economy is showing a steady recovery, a hard battle still lies ahead as the situation remains severe both at home and abroad, state radio quoted Premier Li Keqiang as saying on Monday.Along with second-quarter GDP data on Thursday (0200 GMT), China will also release June factory output, retail sales and fixed-asset investment. Topics : Debt risksCentral bank governor Yi Gang has said China would keep financial system liquidity ample in the second half but would need to consider withdrawing support at some point, raising questions among investors over when it may start dialing down stimulus.A spike in debt risks remain a worry for policymakers, analysts say.Ruan Jianhong, head of the central bank’s statistics department, told a briefing last week that China’s macro leverage ratio jumped 14.5 percentage points in the first quarter and climbed further in the second quarter.Still, analysts expect policymakers to maintain support for the economy for a while longer to ensure the recovery remains on track, particularly given the fragile global economic conditions.Credit growth is also expected to remain strong. New bank lending hit a record 12.09 trillion yuan (US$1.72 trillion) in the first half of the year.The International Monetary Fund has forecast China’s GDP to expand 1.0 percent for the full year, the only major economy expected to report growth in 2020. China’s economy is likely to return to modest growth in the second quarter after a record contraction, as lockdown measures ended and policymakers stepped up stimulus to combat the shock from the coronavirus crisis.The gross domestic product (GDP) numbers, due early Thursday, will be closely watched around the world, especially as many countries continue to grapple with the COVID-19 pandemic even as China has largely managed to contain the outbreak and has begun to restart its economic engines.Analysts polled by Reuters forecast GDP to have grown 2.5 percent in April-June from a year earlier, reversing a 6.8 percent decline in the first quarter – the first contraction since at least 1992 when official quarterly GDP records started. However, the expected growth rate would still be the weakest expansion on record.Rising coronavirus infections in some countries, including the United States, have overshadowed improved demand for Chinese exports while heavy domestic job losses and lingering health concerns have kept consumers cautious.China’s services sector, which is dominated by smaller firms, has not rebounded as quickly as factory production, though there are some signs that consumer confidence is gradually improving.On a quarterly basis, GDP is expected to have grown 9.6 percent in April-June, compared with a decline of 9.8 percent in the first quarter.last_img read more


first_imgThe virtual abandonment by the Irish state of any responsibility for the waves of emigrants in much of the last century should now inspire a more focussed and positive response to recommendations contained in the report on Youth Emigration launched by the National Youth Council of Ireland, MEP Marian Harkin has said.Launching the report Independent MEP urged the government to acknowledge its duty to emigrants and in particular to accept the recommendations to have a Junior Minister given responsibility for emigrants.She said: “The opportunity now exists to provide valuable low cost ‘in time’ supports to our emigrants which, to be fully effective, will need a co-ordinating influence at Ministerial level. Most of the recommendations in the National Youth Council’s report can be implemented immediately, or within a short time, as they require very few resources. “In particular there is a need for a one stop shop web portal which can guide emigrants on issues such as qualifications needed or special requirements for entry into particular professions applicable in different countries. Access to health services where immediate registration with a GP is necessary in order to avoid months of delay to obtain services is an important issue which needs to be highlighted.“The current wave of emigration emphasises once more the need to focus much more on language teaching at all education levels. Languages are now a basic requirement and will be for the future with the recovery of EU economies providing jobs opportunities relatively close to home.”She added: “Current emigration is taking large numbers of highly qualified young people out of the country and it is imperative that contact is maintained with them. We hear almost on a daily basis of jobs being filled in Ireland by qualified immigrants. It will be vital to maintain a flow of information to our emigrants indicating to them that experience gained abroad could qualify them for jobs at home.“A comprehensive well maintained website would be hugely important in this respect and would be of great assistance to emigrants seeking information on jobs and skills needed back home as national economic recovery occurs. “A significant and long overdue way of maintaining contact with our emigrants would be to enjoin them in our electoral processes. Expat voting is a feature of the electoral systems of many countries and at least the opportunity to participate in reformed Seanad elections would be an acknowledgement of their continued membership of the Irish nation.”  MEP HARKIN WANTS MINISTER FOR EMIGRANTS was last modified: May 10th, 2013 by BrendaShare this:Click to share on Facebook (Opens in new window)Click to share on Twitter (Opens in new window)Click to share on LinkedIn (Opens in new window)Click to share on Reddit (Opens in new window)Click to share on Pocket (Opens in new window)Click to share on Telegram (Opens in new window)Click to share on WhatsApp (Opens in new window)Click to share on Skype (Opens in new window)Click to print (Opens in new window) Tags:MEP HARKIN WANTS MINISTER FOR EMIGRANTSlast_img read more