(Photo : retail sales)

The National Bureau of Statistics (NBS) said China's total industrial value-added output soared by 10.4 per cent year on year in August while retail sales during the same month went up 13.4 per cent, further adding to evidences that China's economy is on its way to a full recovery.

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Both figures have surpassed forecasts made by Dow Jones Newswires and Reuter's survey. Both firms predicted that the industrial production will grow 9.9 per cent while retail sales were expected to soar 13.2 per cent.

According to the data released by the NBS, industrial output in China from January to August soared 9.5 per cent compared with the output during the same period last year. The August output also increased 0.93 per cent from July.

The industrial output data was based on the output of large Chinese companies that have annual revenues above CNY20 million or $3.25 million.

Consumer Spending Reached $2.39 Trillion

The NBS data also showed that consumer spending in China reached CNY14.81 trillion or $2.39 trillion in the first eight months of the year. The figure means retail sales climbed 12.8 per cent from January to August compared to the same period last year.

The Industrial output and retail sales data were released a day after the Chinese customs authority reported that China's exports grew 7.2 per cent last month year-on-year.

China's Economy Continuously Picking Up

State-owned Xinhua News Agency said the strong industrial output and retail sales growth add to the evidence that the country's economy, the second largest in the world, is on its way to recovery following a protracted slowdown.

Analysts shared the same observation and said that the strong industrial and retail data only confirms that China's economy is continuously picking up. In fact, global investment banking giant Goldman Sachs raised its China GDP forecast from 7.4 per cent to 7.6 per cent for this year.