MNI BRIEF: China Industrial Profits Up 11.0% In December
MNI (BEIJING) - China’s industrial profits at large firms increased 11.0% y/y in December, rebounding from November’s 7.3% y/y fall, data from the National Bureau of Statistics showed on Monday.
Profits in 2024 reached a total of CNY7431.05 billion, down 3.3% y/y, the third year of consecutive contraction, while operating income rose 2.1% y/y, the data showed.
Although profits declined overall, the benefits of incremental policies introduced late last year had given industrial enterprises a sustained recovery, said Yu Weining, statistician at the National Bureau of Statistics, in a statement on the Bureau's website.
China will need to provide around an additional CNY3 trillion in fiscal funds in 2025 alongside greater economic reforms to maintain 5% GDP growth, a senior policy advisor recently told MNI, adding Beijing should raise the deficit-to-GDP ratio 100 basis points to about 4%. (See MNI INTERVIEW: China Needs Further CNY3 Trn To Keep 5% GDP)