Performance of Listed Firms Shows Positive Changes In China’s Economy

their financing support for the real economy.

In the first half of the year, Shanghailisted companies in the real economy reported total financing of around 4.5 trillion yuan ($658.9 billion), up 9 percent year on year, with the majority coming from the banking system.

The central bank will raise the capacity and willingness of financial institutions to serve the real economy to create a moderate financial environment for supply-side structural reform and high-quality development, according to the central bank’s second-quarter report.

Thanks to the supply-side structural reform, the crude oil, steel and non-ferrous metal sectors all experienced breathtaking growth in revenue and profit.

The net profit of steel companies listed in Shanghai surged 134 percent year on year in the first half of the year, partly due to the country’s firm stance on eliminating excess production capacity.

In the first seven months of 2018, China cut outdated crude steel capacity by 24.7 million tons, completing more than 80 percent of this year’s capacity-cut target of 30 million tons, according to the latest data from the National Development and Reform Commission.

The net profit of the crude oil and nonferrous metal sectors on the Shanghai bourse both surged by 75 percent year on year, the Shanghai Stock Exchange said.

On the Shenzhen bourse, 957 companies in new energy, high-end equipment manufacturing and new materials sectors grew more than 20 percent in both revenue and profits.

China’s economy expanded 6.8 percent year on year in the first half of the year, above the annual target of 6.5 percent.