MNI BRIEF: Economic Recovery In Covid-Hit Shanghai Speeds Up

Economic recovery in regions hit by the pandemic in China accelerated since June, with industrial output and unemployment significantly improved in Shanghai city and Jilin province, said Fu Linghui, spokesman of the National Bureau of Statistics at a briefing on Friday.

In June as restrictions were eased, industrial production in Shanghai and Jilin rose 13.9% and 6.3% y/y, respectively, compared with May’s 30.9% and 4.9% declines. The surveyed unemployment rate also dropped by 9.7 and 0.8 percentage points, respectively, from the previous month, said Fu.

China's gross domestic product slowed to 0.4% in Q2. Shanghai, the financial hub and economic powerhouse of the country, hit hard by the Covid lockdowns during April and May, saw its regional GDP fall by 13.7% y/y in Q2. The city’s surveyed unemployment rate also soared to 12.5% in Q2, much higher than the national level of 5.8%, according to Fu.