China’s GDP growth could be only 5% as strong doubts are raised on Chinese statistics

The stated GDP increase of 6.9% in 2015 is based on data manipulated by provincial authorities. They tend to inflate figures on investment, consumption, wages, trade, projects, and tax revenue. Xinhua reports allegations to this effect.

Beijing (AsiaNews) - Chinese economic growth of 6.9% for 2015, the lowest in the last 25 years, presented by the National Office of Statistics, could be even lower. Several observers say that looking at other indicators China's economy growth in 2015 could be much smaller.

According to some (anonymous) economists, quoted in today’s edition of the South China Morning Post, growth might not exceed 5%.

Wang Baoan, director of the National Bureau of Statistics, presenting the data two days ago, defended their accuracy, but the problem lies with the data used.

However, Xinhua reported last month that the authorities in northeastern China had falsified economic data for years, causing distorted political decisions and leading to corruption cases. Economic data were inflated to show the success of authorities or provincial secretaries, as in the days of Mao Zedong. Data were falsified in many domains: GDP growth, investment, consumption, trade, as well as income and substandard housing area renovation.

Businessmen in southern China told AsiaNews that at least once a year they are invited by the Party secretary to propose huge projects and fake investments, that will not be realized, but are used to draw up inflated budgets and false revenue from taxation that can exceed the 50% of the real figures.

• china
• economy
• GDP
• growth
• fake statistics