China Economy Grows 11.3 Percent, Most in a Decade – Nipa Piboontanasawat
China’s economy grew 11.3 percent in the second quarter, the fastest pace in more than a decade, and the government said it will clamp down on lending and investment.
Spending on factories and real estate accelerated in June, the statistics bureau said, helping gross domestic product grow faster than the 10.4 percent median forecast among 30 economists in a Bloomberg News survey. It was the biggest expansion since 1994, when the economy was a quarter of its current size.
The report added to speculation the central bank will raise lending rates for a second time this year and order banks to rein in credit in the world’s fastest-growing major economy. China may also allow faster currency gains to curb a trade surplus that’s flooded the economy with cash and strained relations with the U.S. [Full Text]