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Economy grows 9.7% in the first half of the year
(Xinhua)
Updated: 2004-07-16 16:42

China's gross domestic product rose in the first half of this year by 9.7 percent over the same period last year, to reach 5,877.3 billion yuan (US$730 billion), a spokesman for the National Bureau of Statistics (NBS) said in Beijing Friday.

The spokesman, Zheng Jingping, told a press conference that the growth rate is 0.9 percentage point higher than the same period last year.

According to the statistics, primary industry grew 4.9 percent to account for 617.7 billion yuan (US$70 billion); secondary industry, up 11.5 percent, for 3,382.2 billion yuan (US$400 billion); and tertiary industry, up 8 percent, for 1,877.4 billion yuan (US$200 billion). The growth rates for the first and second quarter were 9.8 and 9.6 percent respectively,with no obvious fluctuations.

The statistics show a steady and fast growth in China's industrial production, which had an added value of 2,982.2 billion yuan (US$340 billion), up 11.9 percent.

Agriculture production is also positive. The total area under grain crops increased after five years of decline. The area sown to grain crops is predicted to expand one percent over last year.

In the first half of the year, consumer goods sales reached 2524.9 billion yuan (US$300 billion), up 12.8 percent over the previous year. Prices rose 3.6 percent, import and export kept their momentum and foreign capital continued to increase. Import and export volume grew 39.1 percent to US$523 billion.

The incomes of Chinese residents increased rapidly, the statistics indicate. In the first half of 2004, urban residents' disposable incomes reached an average of 4,815 yuan (US$600), up 11.9 percent. The average cash income of farmers reached 1,345 yuan (US$160), up 16.1 percent, the largest increase since 1997.

Zheng said that the economy was performing well, creating stable growth conditions for the next phase. Some problems have not been settled, he acknowledged, such as energy and transportation restrictions, fixed assets investment speed and unreasonable credit structure.

In the second half of this year, more emphasis will be put on restructuring and transforming economic growth in order to ensure sustained, fast and coordinated development of the national economy, he said.

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