Chinese power consumption confirms economic recovery

Chinese electricity consumption data is often viewed by scholars as a real and a more reliable indicator of economic health of the world’s second largest economy.

Off late the ‘main stream’ figures – GDP, industrial production, retail sales, trade balance – have shown the economy may has stabilized if not on a recovery mode. However, skeptics have a hard time believing those figures, given that China has been accused of manipulating its data.

However, scholars believe electricity consumption is somehow more reliable. China National Development and Reform Commission (NDRC) data showed August electricity consumption jumped 8.3% in annualized terms. This adds credence to the upbeat ‘main stream’ figures released over the last month or so.