China’s economy expanded 5% in 2024, meeting the official target of “around 5%” growth after stimulus measures introduced late last year appear to be working.

KEY TAKEAWAYS China met its annual 5% GDP growth target for 2024, thanks to the stimulus measures that buoyed economic activity in the fourth quarter.According to the country's National Bureau of Statistics,

The Chinese economy grew 1.6% in Q4, above the 1.3% rise in Q3 and marking the strongest quarterly increase since Q1 2023. The economy grew by 5.4% Y/Y, surpassing market estimates of 5.0%. Growth was boosted by a series of stimulus measures launched since September to boost recovery and regain confidence.

China’s population has fallen for the third straight year, pointing to further demographic challenges for the world’s second most populous nation that is now facing both an aging population and an emerging shortage of working age people able to support their elders.

The world's second largest economy faces demographic headwinds, as its dwindling population continues to age, leaving a declining workforce.

China recorded its third consecutive year of population decline in 2024, despite the country’s first increase in births in almost a decade in a year traditionally regarded as auspicious. Figures released on Friday by the National Bureau of Statistics showed the country recorded 9.