SMM5 29: 2019 has unwittingly passed nearly half, China's economy in the first quarter to achieve 6.4% growth exceeded market expectations, quite difficult.

We know that 2019 is a very difficult year for China. China is faced with many structural contradictions at home, the transformation is quite slow, foreign countries are facing difficulties everywhere in the United States, and the trading environment has been greatly damaged.

As a result, early in the year, the government signaled a 2 trillion tax cut, which was officially implemented in April. In terms of monetary policy, the central bank began to cut the standard in January, followed by a target cut for small and medium-sized banks in May, releasing a lot of liquidity.

In terms of steady investment and growth, the government has made good plans in advance. As early as the end of last year, the standing Committee of the National people's Congress authorized the State Council to issue a new debt limit of 1.39 trillion yuan for local governments in advance this year. In order to increase local government investment in infrastructure construction "short board" areas, stable investment, so some experts predict that the growth rate of infrastructure investment is expected to return to about 10% this year. But in fact, according to the situation in the first four months, the growth rate of infrastructure investment has not increased significantly.

Last year, infrastructure was obviously a drag, which was the main reason for the decline in China's economic growth. Fixed asset investment rebounded slightly in the first four months of this year. In fact, infrastructure investment rose by only 0.6 percentage points. Instead, real estate investment grew by 2 percentage points, and 4.4% of infrastructure growth was a far cry from the 10% forecast by experts. Infrastructure growth is expected to grow substantially in the second half of the year, keeping fixed assets above 6 per cent, thereby keeping China's economy running smoothly at more than 6 per cent.

It is worth mentioning that last year, the national fixed assets investment has exceeded 63 trillion, this year is expected to exceed 67 trillion, and last year GDP is only 90 trillion, in the steady economic growth at the same time, the transformation is already imminent!