Fueled by soaring revenues from exports, China continues to grow at an unprecedented rate as the economy hit a 9.7% growth during the last quarter of the year for an overall 8.7% growth rate for the year just ended
China registered a 10.7 positive growth during the last quarter of 2009. The fourth quarter growth rate exceeded forecasts and placed the overall growth for 2009 at 8.7 against projection of 8.3%. for the year.
China has rebounded strongly from the global downturn but the government worries that heavy stimulus spending and bank lending might fuel inflation. Regulators have ordered banks to control lending and analysts expect them to raise interest rates this year.
"At present, the base of the world economic recovery is relatively weak. There are uncertainties in domestic economic development," Ma Jiantang, commissioner of the National Bureau of Statistics, said at a news conference.
"We should ... maintain consistency and stability of macroeconomic policy." China's economy is the third largest in the world after the United States and Japan with a nominal GDP of US$4.6 trillion (2008) when measured in exchange-rate terms.
China has had the fastest-growing major economy for the past 30 years with an average annual GDP growth rate above 10%. China's per capita income has likewise grown at an average annual rate of more than 8% over the last three decades drastically reducing poverty, but this rapid growth has been accompanied by rising income inequalities.
China has just overtaken Germany as the world's top exporter.
(original article appeared @ Digital Journal