China Records First Population Drop , in 6 Decades.
CNN reports that China's National Bureau of Statistics (NBS) made the announcement on Jan.
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In 2022, the country's population dropped by 850,000 from the previous year to reach 1.411 billion.
According to analysts, China's population has not declined since 1961 under former leader Mao Zedong.
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According to analysts, China's population has not declined since 1961 under former leader Mao Zedong.
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The population will likely trend down from here in coming years.
This is very important, with implications for potential growth and domestic demand, Zhiwei Zhang, president and chief economist at Pinpoint Asset Management, via CNN.
CNN reports that the country's birth rate also fell to its lowest level since Communist China was founded in 1949.
There were 6.77 births per 1,000 in 2022.
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China also revealed it had suffered one of its worst yearly economic performances in almost 50 years.
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Its economy only expanded by 3%, which fell far short of the government's goals.
The data highlights the issues China faces as its labor force dwindles and its number of retirees grows.
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The Chinese economy is entering a critical transition phase, no longer able to rely on an abundant, cost-competitive labor force to drive industrialization and growth, Frederic Neumann, HSBC chief Asia economist, via CNN.
As the supply of workers begins to shrink, productivity growth will need to pick up to sustain the economy’s heady pace of expansion, Frederic Neumann, HSBC chief Asia economist, via CNN.
As the supply of workers begins to shrink, productivity growth will need to pick up to sustain the economy’s heady pace of expansion, Frederic Neumann, HSBC chief Asia economist, via CNN
