Continuous economic recovery of China gives confidence to the world

Amid instability and uncertainty in the world, China has the confidence and competence to realize a continuous high-quality economic development, injecting constant confidence and growth to the global economy, the People's Daily said on Monday.

"China is the only economic power in the world expected to realize growth in the world in 2020," the newspaper said, citing the latest World Economic Outlook update by the International Monetary Fund, adding that the public opinion in the international community widely backed such inspiring confidence.

Standing against the pandemic "pressure test", China set an example in prevention and control of the COVID-19 outbreak and economic development. Recent economic data verified the positive prediction from the IMF on China. The growth of industrial value-added of enterprises above designated size rose for two consecutive months. The growth rate for industrial firms rebounded from negative to positive. The production index of the service sector turned from decline to rise. Industrial electricity consumption surged. Electricity consumption in service sector and railway freight volume rose from dropping… These figures show the effect of work resumption in China are emerging, with the economy starting to revive.

The Purchasing Managers' Index for the manufacturing sector stood at 50.9 in June, above the contraction line for four straight months, indicating a consolidated momentum for the country's economic recovery and an increasing growth in stability of industrial chains.

The against-trend growth for express delivery is another indication for Chinese market rejuvenation. The business volume growth rate rose more than 40 percent in May year-on-year, the highest since February 2018. Facts show China not only withstood the pandemic but also was in a stable situation with steady economic recovery.

The work resumption in China is a strong support for the recovery of global industrial chains, as the pandemic's impact on the world's economy continues. The World Bank projected a minus 5.2 percent drop in the global economy, calling it "the greatest recession since the World War II".

The Organization for Economic Co-operation and Development said the outbreak has triggered the most serious economic recession in nearly 100 years. The road to global economic recovery is full of uncertainty, though countries have loosened their prevention and control measures in phases, the OECD said.

Against this background, China has maintained its foreign trade stable, and made sure the global supply chains remained stable, in addition, it has incubated new development powers by supporting new industrial models.

The CNBC said in its report that firms in China not only resumed quickly but also helped suppliers across the border restart production, leading the international supply chain to recover.

The People's Daily said China has added new power to world's economic recovery. In the 2020 Government Work Report, the country formulated opening-up plan in stimulating foreign trade, utilizing foreign direct investment, commonly building the Belt and Road, liberalizing and facilitating trade and investment. The general plan for the construction of the Hainan Free Trade Port is a clear-cut stand for the opening-up in the new era too.

In addition, China's negative lists for foreign investment and negative lists for foreign investment access in pilot free trade zones were shortened again this year, the fourth consecutive year the lists have reduced, unleashing strong signals to promote reform and development to counter the impact of the pandemic.

The 127th China Import and Export Fair held online attracted purchasers from 217 countries and regions, breaking the record in buyers' place of distribution. Over 90 percent of exhibiting area for the third China International Import Expo was booked by firms. "China's dedication to build an open and fair market environment will help improve investors' confidence, and promote global economic recovery," people from overseas said.

Looking back to the first half of 2020, although the economy bore quite a lot pressure, it stayed stable, the People's Daily said.