Guangdong Province's GDP May Surpass Spain, Russia in 2018
Lin Xiaozhao
DATE:  Jan 26 2018
/ SOURCE:  Yicai
Guangdong Province's GDP May Surpass Spain, Russia in 2018 Guangdong Province's GDP May Surpass Spain, Russia in 2018

(Yicai Global) Jan. 26 – The gross domestic product of China's southern economic powerhouse, Guangdong province, edged close to CNY9 trillion (USD1.42 billion) last year after rising 10 percent, and could surpass those of Spain and Russia in 2018.

Guangdong has been the top contributor out of all provinces to China's national economy for 29 straight years, accounting for 10.5 percent of the total figure in 2017. It has averaged an annual economic growth of 7.9 percent over the past five years, the provincial government said in a new report.

The province's GDP last year was USD1.33 trillion, and it could grow to overtake those of Spain and Russia this year. Guangdong could also overtake South Korea in the next years if annual economic growth stays at 7 percent and the Chinese yuan remains strong, which ranks 11th globally, a government official predicted.

Guangdong's research and development spending increased to CNY230 billion last year from CNY123.6 billion (USD19.53 billion) in 2016, supplanting Beijing as number one in the country, while its share to GDP increased from 2.17 percent to 2.65 percent.

The area aims to maintain GDP growth of about 7 percent this year, while the proportion of R&D expenditure to GDP could grow to about 2.7 percent. Investment in fixed assets and total retail sales of consumer goods are also expected to maintain 10 percent growth rate.

Guangdong still faces the issues related to regional development imbalances, with per capita income in the core Pearl River Delta area being twice that of the rest of the region, the report noted, adding that the rest of the region lagged behind significantly in terms of economic development, public services and attracting talent.

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Keywords:   Guangdong,GDP,R & D,Spain,RUSSIA