According to the National Bureau of Statistics report, the official manufacturing purchasing managers' index rose to 50.8 in March from 49.1 in February, exceeding economists' expectations. This is the best value since March of last year. In addition, the non-industrial BMI rose to 53, indicating an increase compared to the previous month, it was reported. Bloomberg.
This BMI data, an important indicator of economic health, shows that China's growth boom continues. This positive trend may give policymakers more time to evaluate the impact of previous stimulus measures before considering further mitigation measures.
The improvement in manufacturing BMI was mainly due to increased production and new orders, indicating a significant acceleration in activity. However, despite this increase, producer transfer prices continued to decline, which poses a challenge amid ongoing deflationary pressures.
China has set a goal of increasing its GDP by about 5% this year, although achieving this goal remains uncertain due to the crisis in the real estate sector and ongoing deflationary trends. To support economic growth, the authorities injected more liquidity into the banking system and accelerated central government spending on infrastructure projects.
In his meeting with American business leaders, Chinese President Xi Jinping acknowledged the problems facing the local economy, but expressed confidence in overcoming them. The purpose of the meeting was to restore foreign investors' confidence in China, as capital inflows into the country have slowed.
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