By Martin Gøttske
The Chinese economy beat expectations and grew 6.9 per cent in the second quarter. The higher than expected growth comes as industrial output and consumption picked up and investment remained strong. However, analysts foresee slower growth over the rest of the year as the government seek to reduce financial risk. Policy measures to rein in red-hot housing prices and a rapid build-up in debt are expected to take a greater toll on growth.
The government is aiming for growth of around 6.5 per cent in 2017, slightly lower than last year’s actual 6.7 per cent, which was the weakest pace in 26 years.