China's economy steadies as stimulus kicks in

But rising debt and retreat from reform threaten staying power

20190417N new daxing

The new Daxing International Airport being constructed outside Beijing. Public works projects have bolstered demand for cement, glass and steel.  © Reuters

ISSAKU HARADA, Nikkei staff writer

BEIJING -- China's real economic growth rate held flat in the January-March quarter at 6.4% on the year, breaking a streak of slowdowns since the first quarter of 2018, but higher borrowing by individuals and businesses raises questions about how long the relief will last.

The growth rate was "noticeably better than market projections of 6.2% to 6.3%," National Statistics Bureau spokesperson Mao Shengyong told reporters on Wednesday, the day the data was released.

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