By Gina Lee

Investing.com – China’s hit a new record in November but faced pressure from a strong yuan as well as weakening demand and higher costs. Import growth quickened, indicating stronger domestic activity.

Data released earlier in the day showed that grew 22% year on year, above the 19% growth inf forecasts prepared by Investing.com but below October’s 27.1% growth.

The growth rate was 31.7% which is well over the forecasted growth of 19.8% by Investing.com, but less than the October growth of 20.6%.

The data comes a day after the People’s Bank of China said it would reduce most banks’ reserve requirement ratio by 0.5 percentage points next week. The central bank’s second such move in 2021 will release CNY1.2 trillion ($188.16 billion) of liquidity.

China has staged an impressive economic recovery from COVID-19, but power shortages, regulatory crackdowns, and the property sector’s debt woes remain roadblocks.

China might issue further policy measures to help the recovery. Premier Li Keqiang said Monday that China still has the capacity for many monetary policy instruments.

China has not yet reported any cases of the Omicron Variant on the COVID-19 side. However, if it emerges, it could add pressure to China’s zero-tolerance policy towards the virus and increase logistical pressures for exporters, according to analysts.

The data also showed a of $71.72 billion in November, with forecasts prepared by Investing.com’s predicting an $82.75 billion balance, and an $84.54 billion balance recorded in October.