BEIJING — China’s first quarter GDP grew faster than expected despite the impact of Covid lockdowns in parts of the country in March, according to data released by the National Bureau of Statistics Monday.

The first quarter GDP grew by 4.8%, surpassing expectations for a 4.4% rise compared to a year earlier.
But retail sales for March were down 3.5% compared with a year before. Reuters polled analysts and predicted a decline of 1.6%.

Fixed assets investment increased by 9.3% in the first quarter compared with a year prior, surpassing expectations for an 8.5% increase.
In March, industrial production grew by 5%, exceeding the 4.5% forecast.

The country’s worst Covid epidemic since 2020 has been difficult to control, and it began in March. Lockdowns in more than half of the country led to a massive outbreak. 6.8% contraction in first quarter growth from a year earlier.

Although January and February economic numbers were better than expected, the March figures have started to show the effect of stay-home and travel restrictions in economic centres like the. coastal metropolis of Shanghai.

According to last week’s data, although exports were a key driver for China’s economic growth, they rose more than expected by 14.7% in March. However, imports fell unexpectedly by 0.1% compared with a year ago.