At the end of 2022, the level of economic activity in China fell to the lowest level since the pandemic in 2020. This was due to the sharp refusal of the Chinese authorities to pursue a so-called zero-tolerance policy against the spread of the coronavirus. informs The Bloomberg agency cites data from the Asian country’s National Bureau of Statistics (NBS).
“China’s abrupt abandonment of its Covid zero policy has sent economic activity – particularly in the services sector – to its slowest pace since February 2020. <….> The official manufacturing purchasing managers index fell to 47 this month from 48 in November. That figure was worse than the 47.8 estimated in Bloomberg’s survey of economists.
It has been reported that the spread of the coronavirus recently affected China’s major cities and prompted people to stay at home. As a result, a number of businesses were threatened with closure or shut down completely. The article also states that the index of economic activity in the country has not decreased only in the manufacturing sector.
The non-manufacturing index, which measures activity in the construction and services sectors, fell to 41.6 from 46.7 in November, below the overall forecast of 45. <….> The Services PMI, a non-manufacturing sub-index, fell to 39.4 from 45.1 in November. This is the lowest figure since February 2020 and the fourth month in a row that it has been on the decline.
December 20, Bloomberg, according to data from China’s Ministry of Finance (MinFin) reportedIn January-November of this year, China’s budget deficit more than doubled compared to the same period in 2021, reaching 7.75 trillion yuan ($1.1 trillion). In the first 11 months of the year, tax revenues decreased by 23.8% compared to the same period of 2021. At the same time, the Chinese authorities’ total government spending from January to November amounted to 22.7 trillion yuan, up 6.2% from the previous year.