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China's service consumption on fast growth in H1

Xinhua | Updated: 2018-08-05 22:23
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BEIJING - China's consumption of services in sectors including tourism, culture, and sports registered fast growth in H1, according to the National Development and Reform Commission (NDRC).

In the first half, service consumption in tourism, culture, sports, eldercare, and housekeeping accounted for 40 percent of total household consumption, according to Liu Yunan, an NDRC official.

China's tourism market continued to expand, with domestic tourism revenue rising 12.5 percent year-on-year in H1.

Both investment and consumption in the culture industry showed good performance in H1. Fixed asset investment in the culture industry climbed 17.5 percent from a year earlier, while China's box office sales went up 17.8 percent year on year.

With an aging population, demand for eldercare services have been on the rise. By June, the number of elderly care institutions and facilities reached 156,000, with over 7 million beds and more than 700,000 workers.

Sports, a sector with great potential in China, also saw marked growth, said Ou Xiaoli, another NDRC official.

Ou forecasts that by the end of 2018, the added value of the sports industry will contribute to over 1 percent of China's GDP, contributing to nearly a trillion yuan (about 146 billion U.S. dollars) in consumption and creating over 4.4 million jobs.

China is seeking to transition from an economy reliant on investment and exports of low-value-added goods to a consumption, service-driven one.

In H1, retail sales expanded 9.4 percent year-on-year to reach 18 trillion yuan, with final consumption expenditure contributing 78.5 percent to economic growth.

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