Delay considered unusual takes place in week of 20th National Congress of the Chinese Communist Party
The government of China has indefinitely postponed the release of economic data for the 3rd quarter of 2022 scheduled for publication on Tuesday (18.Oct.2022). The decision without official announcement by the China’s National Bureau of Statistics does not set a new deadline and takes place in the week of the 20th CPC National Congress (Chinese Communist Party), which is expected to reappoint President Xi Jinping for a 3rd term in charge of the country on Sunday (23.Oct.2022).
On the official website of the agency, the dates referring to the release of balance sheets such as the GDP (Gross Domestic Product) growth rate from July to September and this month’s industrial production report appear as “postponed”. The update was made after the closing of the Chinese stock exchanges. Here is the calendar (intact – 420 KB, in English).
“I have never come across a situation where a whole series of statistical reports is delayed by nearly half a century of monitoring”chief economist at investment bank UBS, George Magnus, told New York Times.
The postponement raises doubts about the performance of the Chinese economy with the “covid zero”who adopted lockdowns prolonged in the country’s main cities as soon as the first cases of covid-19 were detected.
The financial market forecast was for a 3.3% GDP growth in the 3rd quarter compared to 2021, below the 5.5% projected by China. Now, the expectation is that the performance could have been even worse and follow the stagnation trend pointed out by the increase of only 0.4% in the 2nd quarter.
The slowdown is also driven by the crisis in the Chinese real estate market, hit by the case of China Evergrande Group. The collapse of the giant developer impacted the sector with multi-billion debts and interrupted the pace of construction across the country.
The main political leaders of China gathered on Sunday (16.Oct.2022) in Beijing for the 20th Congress of Chinese Communist Party.
The meeting lasts for one week. It has been held every 5 years since 1949, when the communist leader Mao Tse Tung won the civil war and assumed power.
The 2022 congress must, among other things, Xi Jinping to the post of Secretary General of the party and, consequently, to the presidency of the country. It will be his 3rd term as president, something unprecedented in China.
Xi took power in 2012. In 2018, suspended presidential term limits, until then 10 years. In current terms, it is able to lead China to 2027.