Though China’s National Bureau of Statistics published that the country’s economic growth started happening in the first few months of 2016, Britain’s broadcast service, BBC, has announced that the Chinese Government has faked the news and has given wrong numbers just for eyewash.
A fed study supports China’s GDP figures which make the scepticism about China’s growth baseless. There is definitely an improvement in the country’s GDP as also indicated by Federal Reserve Bank of Kansas.
The option model uses a progression of sectorial information that catches the quality of key segments of the Chinese economy from the final quarter of 2008 to the final quarter of 2014, said the study, including that it catches the varieties in Chinese GDP development genuinely well and clarifies around 99 percent of Chinese financial development amid this period.
The views of western media are strongly opposed by Michael Parker, who is an economist for Bernstein Research in Hong Kong. In one of his interviews he quoted "The idea of getting tens or maybe hundreds of thousands of accountants and statisticians across China to march consistently in a crooked line; and to do that for a decade or more -- sounds, to us, implausible."
We also can understand that the scepticism is not true from the fabulous growth that China has undergone in the past 30 years. There is plenty of family wealth in China which is not taken into consideration.
The difference in opinion of the western media is due to the fact that they have overlooked certain facts including that China has over the past few decades improved to touch the international standards in its statistical benchmark and also China has made many changes in its appraisal system to make it easy on the local governments. If these facts are considered then China’s growth will not be overseen by western media.
Since October 8, 2015, when China's central bank announced that China's official statistics will conform to the Special Data Dissemination Standard (SDDS), a statistical system created by the International Monetary Fund (IMF) to improve transparency, that has been followed. Till then the country has been using General Data Dissemination System (GDDS). This GDDS was set up by IMF in December 1997, which provided a framework for countries to adjust and escalate their statistical systems.
The difference between the GDDS and SDDS is that GDDS is for IMF members, while the SDDS is for all member countries which has access to international markets.
David Lipton, the first Deputy MD of the IMF quoted "The subscription to the SDDS underscores China's strong commitment to transparency as well as to the adoption of international best practices in statistics.”
In the interim, against the scenery of its financial move, the Chinese government has guaranteed to cut the weight of GDP while evaluating the work of neighbourhood governments in an effort to bring the nation's economy onto a more feasible track.
In 2013, the Organization Department of the Communist Party of China (CPC) Central Committee issued a record, promising to move far from GDP-centred appraisals of local governments.
