China Subscribes to IMF’s Data Dissemination Standard
China has subscribed to the International Monetary Fund’s Special Data Dissemination Standard or SDDS, which is a major step forward for official statistics in the country. China’s adoption of the IMF standards follows after several investors have questioned the reliability of the Chinese data as the country’s economic growth has slowed down. And in a surprise August devaluation of the yuan currency brought shockwaves throughout the global market.
China’s participation in the SDDS was already expected and experts are hoping to enhance the country’s availability of timely and comprehensive statistics and contribute in the pursuit of sound macroeconomics policies. The People’s Bank of China the country’s central bank also issued a statement that by adopting the SDDS will uncover the real situation of the economy and provide a timely and accurate basis for policy making. At the same time this will help enhance the level of China’s participation in the global economic cooperation.
China policy makers are forging ahead with structural reforms and place the world’s second largest economy in a more sustainable footing even as the growth is likely to slow further to 6.3 percent in 2016. The IMF is expecting China’s growth to slow to 6.8 percent this year down from 7.3 percent in 2014 and is also expected to weaken further in 2016 if China maintains its existing forecasts.