Shanghai – China has shut down more publicly-sector enterprises than the United States, Australia, Britain and France, the country’s central bank said on Tuesday.
The National Bureau of Statistics (NBS) said the number of enterprises has fallen by about 9% compared to 2016, the worst performance in China’s history.
The number of public-employee firms has fallen from more than 20,000 to about 15,000, the NBS said.
More than 20% of China’s public sector was shut down, the agency said.
“We are witnessing the impact of a major economic downturn and it is the public sector that will have to bear the brunt of the consequences,” NBS director Zhou Hui told reporters.
“Public-sector firms have seen a huge slowdown in activity in recent years.
We cannot wait for the end of the year to find out how things will unfold.”
China’s economy is shrinking, and public-service firms are struggling to keep up with growing demand.
The economy contracted by 5.1% in the first quarter, the most since the end