Beijing's economy saw steady growth in first half

Beijing’s economy saw steady growth in the first half of the year, supported by the strong performance of pillar industries, a buoyant market, greater consumer confidence, and new growth drivers such as 5G projects. The capital saw its GDP expand by 13.4% in the half year to CNY1.92 trillion. The value added of the city’s secondary industry jumped 32.5% to CNY329.3 billion. Meanwhile, that of its tertiary industry increased by 10.1% to reach CNY1.6 trillion. The city’s investment in fixed assets during the period grew by 9.2% year-on-year. The per capita disposable income of local residents hit CNY38,138, up 10.3% over the previous year in nominal terms. “These figures indicate a steady recovery of Beijing’s economy in the first half year,” said Zhu Yannan, Deputy Director of the Beijing Bureau of Statistics. “Key industries laid a solid foundation for the recovery,” she explained. “The pharmaceutical and electronics sectors – two of the city’s pillar industries – delivered more than 80% of the growth.”

Beijing’s new economy was another contributor to the recovery, according to Zhu, contributing 40.9% of its GDP, which was 2.4 percentage points higher over the same period of last year. Investment in new infrastructure accounted for 9.4% of the total investment in the city in the first six months, up 1.8 percentage points year-on-year. Projects in the fields of 5G, the Internet of Things (IoT) and data centers experienced accelerated growth, Zhu said. The collective revenue of online activities – including sports, education, entertainment and healthcare – increased by 35.3% from January to May.

Beijing’s consumption posted strong growth in the first half of the year, increasing 22.1% during the period. The level of consumer confidence stayed high in the second quarter, with the consumer confidence index hitting 123.6. “The amount of money Beijing residents spent on tourist attractions was double the 2020 level. Expenditure on tickets to movies, plays and performances tripled from a year ago,” Bian Jing, Spokesman for the Survey Office of the National Bureau of Statistics in Beijing said. Beijing’s economy is expected to keep up the momentum in the second half of the year, the China Daily reports.