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China's Business Climate Index down 4.2 points in Q1

0 CommentsPrint E-mail Xinhua, April 8, 2011
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China's business climate index dropped to 133.8, down 4.2 points from the previous quarter, in the first quarter of this year, ending a seven-quarter rise, said the National Bureau of Statistics (NBS) on Friday.

The NBS said the index of the construction sector dropped 13.1 points and the index IT-related sector fell 9.3 points.

Meanwhile, the wholesale and retail sector index rose 3.6 points, topping all industries.

The index of industrial enterprises slid 4.4 points to 130.9 while that of service enterprises rose 3.6 points.

Indices of transportation, postal, accommodation and catering enterprises remained almost unchanged.

The country's entrepreneurs remained confident in the economy during the first quarter as the Entrepreneur Confidence Index stood at 137.4, almost the same as the previous quarter. The index has been on the rise after hitting an eight-year low of 94.6 in the fourth quarter of 2008.

The confidence of property developers was greatly shaken with the sector's index slumping 8.4 points to 112.3.

The index results were based on a survey of a large number of enterprises nationwide. It is compiled on the basis of the understanding, views, judgements and expectations of entrepreneurs concerning the external environment of the market economy and the macro policy, and reflects the feeling and confidence of the entrepreneurs in the macro economic environment.

Another key business-related indicator, the Purchasing Managers Index (PMI) of China's manufacturing sector, rose to 53.4 in March from 52.2 in February, after sliding for three consecutive months, said the China Federation of Logistics and Purchasing last Friday.

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