China's manufacturing industry business confidence index for February has dropped from 50, a milestone for determining economic conditions, for five months as domestic demand continues to stagnate due to the prolonged slump in the real estate market. It has fallen continuously.
China's National Bureau of Statistics surveyed 3,200 manufacturing companies for February's Manufacturing PMI (Purchasing Managers' Business Confidence Index), which was 49.1.
It has worsened by 0.1 points since January, and has remained below 50 for five consecutive months, a milestone that determines the health of the economy.
This is mainly due to the continued stagnation in domestic demand due to the prolonged slump in the real estate market and the severe employment situation.
By size of company, the ratio
is 50.4 for large companies
, 49.1 for medium-sized companies,
and 46.4
for small companies, and the situation continues to fall below the milestone of 50 for small and medium-sized companies.
On the other hand, the business confidence index for non-manufacturing industries such as the service industry improved by 0.7 points from the previous month to 51.4, due to increased demand for travel and food and beverages due to the long holidays associated with the Lunar New Year.
In China, the National People's Congress (National People's Congress) will be held from the 5th to decide important policies.
Amid growing uncertainty about the economic outlook, attention is focused on what concrete measures the government will take to improve the real estate market and expand domestic demand.