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China registers slow growth: Has global recession finally crept into the dragon's belly?
While the economic power blocs of the North America and Europe are showing signs of recovery, the Asian dragon seems to be stumbling. The US has been showing unmistakable signs of economic recovery, whereas China has registered a slowing growth of 7.7 percent in the first quarter of 2013.

This comes close on the heels of the slowest annual growth rate of China for 2012 since 1999. The country registered a growth rate of 7.9 percent in the last quarter of 2012. The official data was released by the National Bureau of Statistics of China on Monday.

With two consecutive quarters witnessing slower than expected growth in China, concerns are being raised that the global recession might have finally crept into the dragon's belly. The planners and economists had forecast an annual growth rate of eight percent.

In the backdrop of recovery signals from the conventional markets, analysts expect diversion of international investment from China to Europe and the US. This explains the sense of unease in the Chinese establishment, which has come out in defending the growth environment in the country. The NBS chief, Sheng Laiyun has said that the current slowdown in China is attributed to the fragile global economics and Chinese domestic policy adjustments as a result of the global concerns.

Sheng emphasized that the growth fundamentals were still strong in China and there was no cause of worry for the investors. He said, "All the conditions indicate that there has been no fundamental change to China's economy. China still has favourable conditions to maintain long-term, sustainable and healthy economic growth. So we are confident in China's economic development, and we are optimistic that we can achieve the 7.5 percent full-year economic growth target."

The current momentum of slowdown rather slower than anticipated expansion of Chinese economy has come as a surprise for a large number of investors. None had expected eight consecutive quarters of decreasing growth rate in 'the last hope' of the global economy. They rather expected a faster growth after a surge in liquidity in the market and a seemingly robust export from China.

Even the latest World Bank estimate has slashed China's GDP growth projection by 0.1 percentage point to 8.3 percent for this year, showing more confidence than that of investors' in Beijing's commitment to restructure and realign its economy. Now, with a weakening growth in China and a revival in the west, the dragon economy is in the corridor of uncertainty. So, loss for China may be gain for the West.

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