China's economy is estimated to have expanded by 4.6% in the first quarter compared to the previous year, marking the slowest growth rate in a year. Despite tentative signs of stabilization, this modest growth rate puts continued pressure on policymakers to introduce additional stimulus measures, Reutres reported. Looking ahead to 2024, the gross domestic product (GDP) of the world's second-largest economy is projected to maintain a subdued pace of 4.6% year-on-year growth, falling short of the official target of approximately 5.0%. Analysts anticipate an even slower growth rate of 4.4% for 2025. The first-quarter forecast of 4.6% contrasts with the 5.2% growth recorded in the previous three months and represents the lowest rate since the January-March quarter of 2023. Despite stronger-than-expected data on factory output, retail sales, and exports in January and February, policymakers face the challenge of bolstering confidence and stimulating demand in the coming quarters.
