In the first two months of the year, China’s total retail sales of consumer goods reached 3.7 trillion yuan, up by 12.3 per cent, yet down from the 15.2 per cent rise in December.

Of the total, the retail sales of consumer goods of industrial enterprises above designated size was 1.8 trillion yuan, up by 10.2 per cent.

In terms of different areas, the retail sales of consumer goods in urban areas was 3.2 trillion yuan in the first two months, up by 12.1 per cent, while that in rural areas was 515.4 billion yuan, up by 13.4 per cent.

Catering services in the first two months gained 403 billion yuan, up by 8.4 per cent, while retail sales of consumer goods rose 12.8 per cent.

“The data show that China’s economic recovery is still relying heavily on the investment-led model, and local governments are keen to ramp up investment at the beginning of the year,” said Liu Ligang, an economist at ANZ National Bank.