Mainland state-controlled firms' profit and revenues continued to improve last month as they recover from the global economic crisis.
The year-on-year growth rate for revenue at state-controlled firms rose to 3.7 per cent in the first 11 months of this year, the Ministry of Finance said yesterday.
That was in marked contrast to the minus 8.1 per cent rate registered in the first two months of this year. For the first 10 months, revenue grew 0.5 per cent.
The year-on-year growth rate for gross profit at state-controlled firms in the first 11 months this year was minus 1.9 per cent, which is an improvement from the minus 10.6 per cent in the first 10 months and minus 43.7 per cent in the first two months, the finance ministry said.
'The improvement is likely to continue next year because of the recovery in China's economy and commodity prices,' said Tao Dong, the chief regional economist for Asia excluding Japan at Credit Suisse. 'We will see a normalisation of profit.
'The bad news is the world economy is in a fragile recovery, and China is exposed to this.'