Sino-Lanka bilateral trade increases by 61 per cent

11 September 2021 12:00 am Views - 152

Economic and Commercial Counsellor of the Chinese Embassy in Sri Lanka Li Guangjun, in an article said bilateral trade reached US $  2.79 billion in the first half of 2021, up by 61% compared to last year, and  Sri Lanka’s exports to China accounted  for US $  276 million, an  increase  by 103.8%.

In his article, he said the Chinese financial institution provided Sri Lanka with credit lines of US $ 1 billion and RMB 2 billion, and China coordinated with AIIB to provide US $ 180 million loan as COVID-19 emergency and crisis response facility, which have boosted the confidence of international investors. “Meanwhile, major breakthroughs have been made in important cooperation projects including Hambantota Port and Colombo Port City, which have attracted large amount of international investment, and played an important role in revitalising Sri Lanka’s economy and improving people’s livelihood, breaking new ground for attracting FDI and enhancing Sri Lanka’s international competitiveness in the post-pandemic era.

China is willing, as always, to welcome Sri Lanka to board its fast train of development, share its development experience and provide the best possible support for Sri Lanka’s economic and social development, so that the results of our bilateral cooperation could benefit more people in both countries,” he said. Commenting on Chinese economic growth, he said, according to China’s National Bureau of Statistics, the gross domestic product (GDP) of China in the first half of 2021 reached 53,216.7 billion yuan, up by 12.7% over the same period of last year. While facing challenges both at home and abroad, China’s economy has been on a steady recovery path with increased production and demand, stable employment rate and prices, fast-developing driving forces, enhanced quality and efficiency, improved market expectations. All the major macroeconomic indicators are demonstrating the steady and sound growth of China’s economy. China’s economic development features are as follows: First, the economic recovery continues with growth. The year-on-year GDP growth for the first quarter was 18.3%, with an average two-year growth of 5.0%; for the second quarter 7.9%, with an average two-year growth of 5.5%. Second, the economic structure is further adjusted and optimized. The role of industries and market consumption were strengthened in driving economic growth; investment grew rapidly in areas needing capital, and urban-rural income gap was narrowed.

Third, economic growth driven by innovation has increased continuously. New market entities, industries and products developed rapidly with new business forms and new models growing even stronger. Fourth, both quality and efficiency have been improved. The profits of businesses and fiscal revenues of governments continued to increase, with a rising capacity utilisation rate.

Fifth, people’s livelihood continues to improve. The employment rate was generally stable (surveyed unemployment rate in urban areas was 5.2%); the level of consumer price rose mildly (up by 0.5% year-on-year), and the growth of resident income is aligned with national economic growth (nationwide per capita disposable income of residents increased by 12% year-on-year).