China's 2009 GDP growth reaches 8.7%

Economic growth in China is now back in double digits for the fourth quarter of 2009. The quarterly figures just released have exceeded most forecasts and brought 2009's full-year expansion to 8.7 percent.

NBS director Ma Jianting announced that China's GDP growth rebounded strongly in the final quarter of 2009 to reach 10.7 percent.

The growth is 1.6 percentage points higher from the third quarter, helping pick up overall economic performance.

Double-digit growth in the last quarter of 2009 enabled China to achieve its growth target of eight percent. The government believes this is essential to generate more jobs for the country's 1.3 billion population.

The NBS director described 2009 as a year of "harvest".

Ma Jiantang, Director of National Bureau of Statistics, said, "Thanks to the stimulus packages that the central government announced to boost domestic demand, the economic growth has made a turnaround amid sharp declines and the economy has rebounded. Statistics showed that the economy is on a v-shaped recovery."

NBS statistics show industrial output accelerated quickly to 18 percent from October through December.

Fixed asset investment registered a year on year surge of more than 30 percent. Investment in infrastructure increased impressively.

But the pick-up did little to offset the decline in export, which fell by 16 percent from 2008.

Ma said, "At present, the base of the world economic recovery is relatively weak. There are uncertainties in domestic economic development. We should maintain consistency and stability in macro-economic policy."

Ma also says there's room for China to further restructure its export-oriented economy and improve its innovative capability to boost growth.