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Growth hangs in the balance

By Zhang Ming | China Daily | Updated: 2013-07-18 08:17

While stabilizing GDP, the authorities must continue to push forward restructuring amid economic difficulties

The growth of China's gross domestic product slowed to 7.5 percent year-on-year in the second quarter, down from 7.7 percent in the previous quarter. This was the fifth consecutive quarter of growth below 8 percent, a clear sign of an economic downturn in the world's second-largest economy. The growth momentum of consumption, investment and exports, the three main drivers of China's economic growth, has weakened, and it could be difficult to realize the 7.5 percent annual growth target set for the year.

The prospects for exports are particularly gloomy due to a lingering slump in external demand and a fast rise in the yuan's effective exchange rate in the first half of this year. The country's exports are expected to further weaken in the months ahead.

Growth hangs in the balance

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