Press Office holds press conference on the operation of the national economy in October 2019
The State New Office held a press conference on the operation of the national economy in October 2019. Photo taken by Zong Chao on China net
The Information Office of the State Council held a press conference at 10:00 on Thursday, November 14, 2019, inviting Liu Aihua, spokesman of the National Bureau of Statistics, to brief him on the operation of the national economy in October 2019 and answer questions from reporters.
Zhan Yanchun, deputy director of the Information Office of the State New Office, presided over the press conference. Photo taken by Zong Chao on China net
Cheng Yanchun, deputy director of the Information Office of the State New Office:
Good morning, ladies and gentlemen! Welcome to the press conference of the Information Office of the State Council. Today, we are very pleased to invite Ms. Liu Aihua, spokesman of the National Bureau of Statistics, to brief you on the operation of the national economy in October 2019 and to answer questions raised by reporters. First of all, I would like to invite Ms. Liu Aihua to make a presentation.
Liu Aihua, spokesman for the National Bureau of Statistics. Photo taken by Zong Chao on China net
Liu Aihua, spokesman for the National Bureau of Statistics:
The overall operation of the national economy was stable in October. In October, in the face of the complicated international situation and the downward pressure on the domestic economy, under the strong leadership of the CPC Central Committee with Comrade Xi Jinping at the core, all localities and departments conscientiously implemented the decision-making arrangements of the CPC Central Committee and the State Council and implemented the new concept of development in an all-round way. In accordance with the requirements of high-quality development, adhere to the supply-side structural reform as the main line, vigorously deepen reform and expand opening up, strengthen counter-cyclical adjustment, and strive to do a good job in stable employment, stable finance, stable foreign trade, stable foreign investment, stable investment, and stable expectations. Economic operation has been stable on the whole, and structural adjustment has advanced steadily.
I. steady growth of the service industry, and a relatively good growth trend of the modern service industry
From January to October, the national services production index rose 7.0%, the same as in January-September. In October, the national services production index rose 6.6% from a year earlier, down 0.1 percentage points from the previous month. The production index of information transmission, software and information technology services, leasing and business services increased by 16.9% and 11.3%, respectively, faster than the national service industry production index of 10.3 and 4.7 percentage points, respectively. The business activity index of the service industry is 51.4%, which continues to be above the rise and fall line, while the business activity index of air transport, postal industry, Internet software information technology services and other industries are all above 55.0%. The expected index of business activity in the services sector was 60.3 per cent, up 1.0 percentage points from the previous month.
II. Sustained industrial growth and rapid growth of new industries and new products
From January to October, the added value of industries above the national scale increased by 5.6%, the same rate as in the period from January to September. In October, the value added of industries above the national scale rose 4.7% from a year earlier, down 1.1 percentage points from the previous month. In terms of economic types, the added value of state-owned holding enterprises increased by 4.8%, joint-stock enterprises increased by 5.4%, and foreign and Hong Kong, Macao and Taiwan investment enterprises increased by 2.1%. Divided into three categories, the added value of the mining industry increased by 3.9%, manufacturing by 4.6%, and electricity, heat, gas and water production and supply by 6.6%. The added value of high-tech manufacturing increased by 8.3%, 3.6 percentage points faster than that of industries above scale. Among them, the medical equipment and instrument manufacturing industry, the electronic and communication equipment manufacturing industry and the pharmaceutical manufacturing industry increased by 14.0%, 8.5% and 7.0% respectively, 9.3, 3.8 and 2.3 percentage points faster than those of industries above scale. The output of optical fiber, solar cells and microcomputer equipment increased by 59.4%, 28.4% and 9.4%, respectively. In the manufacturing purchasing manager index (PMI) sub-index, the production index and supplier distribution time index are 50.8% and 50.1% respectively, which are higher than the critical point. The expected index of production and operation activities in the manufacturing industry is 54.2%, which is in the higher economic range.
III. Steady expansion of market sales and prosperity of online retail and service consumption of goods
From January to October, retail sales of consumer goods totaled 33.4778 trillion yuan, up 8.1 percent, down 0.1 percent from January to September. In October, retail sales of consumer goods totaled 3.8104 trillion yuan, up 7.2 percent from a year earlier, down 0.6 percentage points from the previous month. Of this total, the total volume of retail sales of consumer goods excluding cars increased by 8.3%. According to the location of the business unit, retail sales of consumer goods in cities and towns totaled 3.2744 trillion yuan, up 7.0 percent, while retail sales of consumer goods in rural areas totaled 536 billion yuan, up 8.6 percent. By type of consumption, food and beverage income totaled 436.7 billion yuan, up 9.0 percent, and retail sales totaled 3.3737 trillion yuan, up 7.0 percent. The consumption of upgraded goods has increased rapidly. Over-quota units of communications equipment and sports and entertainment goods increased by 22.9% and 11.5% respectively, faster than the growth rate of 15.7 and 4.3 percentage points of the total retail sales of consumer goods. Domestic tourism revenue, the total revenue of the national film box office continued to grow rapidly.
From January to October, online retail sales nationwide totaled 8.2307 trillion yuan, up 16.4 percent from a year earlier, down 0.4 percentage points from January to September. Of this total, online retail sales of physical goods totaled 6.5172 trillion yuan, up 19.8 percent, accounting for 19.5 percent of the total retail sales of consumer goods, an increase of 2.0 percentage points over the same period last year.
IV. Investment growth is generally stable, and investment in high-tech industries and social sectors continues to grow rapidly
From January to October, investment in fixed assets (excluding farmers) totaled 51.088 trillion yuan, an increase of 5.2 percent over the same period last year, down 0.2 percentage points from January to September. In terms of sub-sectors, infrastructure investment increased by 4.2% compared with the same period last year, manufacturing investment increased by 2.6%, and real estate development investment increased by 10.3%. The sales area of commercial housing in China was 1.33251 billion square meters, an increase of 0.1 percent over the same period last year, and commercial housing sales totaled 12.4417 trillion yuan, an increase of 7.3 percent. In terms of sub-industries, investment in the primary industry fell by 2.4%, investment in the secondary industry increased by 2.3%, and investment in the tertiary industry increased by 6.8%. Private investment totaled 29.1522 trillion yuan, an increase of 4.4 percent. From January to October, investment in high-tech industries increased by 14.2% year-on-year, faster than 9.0 percentage points of total investment, of which investment in high-tech manufacturing and high-tech services increased by 14.5% and 13.7% respectively compared with the same period last year. Investment in the social sector increased by 12.9% year-on-year, with investment in education, culture, sports and entertainment up 18.0% and 13.8%, respectively.
V. the goal of creating new jobs for the whole year has been achieved ahead of schedule, and the unemployment rate has dropped slightly.
From January to October, 11.93 million new jobs were created in cities and towns across the country, achieving the goal of creating more than 11 million new jobs in cities and towns in the whole year ahead of schedule. In October, the national urban unemployment rate was 5.1%, down 0.1 percentage points from the previous month. Of these, the unemployment rate in the 25-59-year-old survey was 4.6%, the same as last month. The unemployment rate surveyed in 31 major cities and towns was 5.1%, down 0.1 percentage points from the previous month. The average weekly working hours of employees in enterprises across the country was 46.8 hours, an increase of 0.1 hours over the previous month.
VI. The increase in consumer prices has expanded and the prices of industrial producers have dropped
Consumer prices across the country rose 3.8 per cent in October from a year earlier, 0.8 percentage points higher than the previous month and 0.9 per cent higher than the previous month. By category, the prices of food, tobacco and alcohol rose 11.4% from a year earlier, clothing by 1.2%, housing by 0.5%, daily necessities and services by 0.6%, and transportation and communications by 3.5%. Education, culture and entertainment rose 1.9%, health care rose 2.1%, and other supplies and services rose 5.5%. Among food, tobacco and alcohol prices, food prices rose 0.5%, pork rose 101.3%, fresh vegetables fell 10.2%, and fresh fruit fell 0.3%. Core CPI, excluding food and energy prices, rose 1.5 per cent, unchanged from the previous month. Between January and October, consumer prices rose 2.6 per cent year-on-year.
In October, producer prices across the country fell 1.6% from a year earlier, up 0.1% from a month earlier. The purchase price of industrial producers fell 2.1% from a year earlier, up 0.2% from the previous month. Between January and October, the ex-factory prices of industrial producers fell by 0.2% from a year earlier, and the purchase prices of industrial producers fell by 0.5%.
VII. Exports have changed from decline to rise, and the trade structure has been further optimized.
In October, imports and exports totaled 2.7071 trillion yuan, down 0.5 percent from a year earlier, down 2.7 percent from the previous month. Of this total, exports totaled 1.5042 trillion yuan, up 2.1 percent from a year earlier, down 0.7 percent from the previous month, while imports totaled 1.2029 trillion yuan, down 3.5 percent, or 2.5 percent less than the previous month. Imports and exports offset, with a trade surplus of 301.3 billion yuan. The scale of trade continues to expand. From January to October, imports and exports totaled 25.6273 trillion yuan, an increase of 2.4 percent. Of this total, exports totaled 13.984 trillion yuan, up 4.9 percent, while imports totaled 11.6432 trillion yuan, down 0.4 percent. The trade structure continued to be optimized. Imports and exports of general trade increased by 4.8%, accounting for 59.3% of the total import and export volume, an increase of 1.4 percentage points over the same period last year. The import and export of private enterprises increased by 10.3%, accounting for 42.4% of the total import and export volume, an increase of 3 percentage points over the same period last year. Industrial enterprises above the scale achieved export delivery value of 10.1139 trillion yuan, an increase of 1.8 percent over the same period last year.
VIII. Supply-side structural reform continues to advance, and profits in emerging industries are growing rapidly
The micro leverage ratio fell, and at the end of September, the asset-liability ratio of industrial enterprises above the scale was 56.9%, down 0.3 percentage points from the same period last year. The inventory of commercial housing decreased. At the end of October, the area of commercial housing for sale nationwide was 493.23 million square meters, down 6.6 percent from the same period last year, and 230000 square meters less than at the end of September. Enterprise unit costs continue to decline compared with the beginning of the year. Investment in the short board sector increased. From January to October, investment in the ecological protection and environmental management industry, environmental monitoring and governance services increased by 37.4% and 32.7%, respectively, faster than the total investment of 32.2 and 27.5 percentage points, respectively.
From January to September, the operating income of service enterprises above scale increased by 9.3% over the same period last year, of which strategic emerging services, high-tech services and science and technology services increased by 11.8%, 11.4% and 11.2%, respectively. The service industry is 2.5, 2.1 and 1.9 percentage points faster than that of the whole scale and above, respectively. The operating profit of service enterprises above the scale increased by 3.7% compared with the same period last year. From January to September, the total profits of industrial enterprises above the national scale fell 2.1% from the same period last year. Among them, the electrical machinery and equipment manufacturing industry, the special equipment manufacturing industry and the non-metallic mineral products industry increased by 13.5%, 12.9% and 11.8%, respectively. The operating income of industrial enterprises above the national scale increased by 4.5% over the same period last year.
At the same time, we should be soberly aware that the current global economic growth is slowing, there are many uncertain factors of external instability, domestic cyclical problems are superimposed with structural contradictions, and the downward pressure on the economy continues to increase. It is necessary to adhere to the guidance of Xi Jinping's thought of socialism with Chinese characteristics in the new era, adhere to the bottom line thinking, adhere to the general tone of seeking progress in stability, strive to implement various policies that have been issued, do a good job in policy coordination and linkage, and enhance the resilience of economic development. We will withstand the downward pressure on the economy, promote stable employment growth, maintain basic price stability, do a solid job in ensuring people's livelihood, strive to accomplish the main objectives and tasks for the whole year, and lay the foundation for the smooth operation of the economy next year.
Thank you, Ms. Liu Aihua, for her introduction. let's start with our questions. before we ask, please let us know which news organization we are in.
Reporter from CCTV, Central Radio and Television Station:
Judging from the data you have just released, many economic indicators are falling back in October. Is the downward pressure on the economy increasing? How do you evaluate the economic performance in October? Thank you.
Thank you for your question. From the main indicators I have introduced, you can see that some indicators fluctuated in October due to short-term factors. How to look at the current economic situation, or from the overall situation in January-October to look more reasonable and objective. We have observed that the overall economic performance from January to October can be summarized into four main characteristics:
First, the sustainable development of the three industries. First of all, from an agricultural point of view, the overall situation of agricultural production this year is relatively good, grain production is expected to achieve another bumper harvest, at the same time, the agricultural production structure is also being continuously adjusted. Secondly, from the perspective of industry, from January to October, the value added of industries above scale increased by 5.6% compared with the same period last year, and the growth rate was the same as that of the previous three quarters. From the perspective of internal structure, the added value of high-tech industries increased by 8.7% year-on-year, the same as the previous three quarters; new industries and new products have maintained relatively rapid growth. Again, from the service sector, the service industry production index rose 7% from January to October, the same as the previous three quarters, and many service consumption did maintain rapid growth.
Second, domestic demand has expanded steadily. From the perspective of retail sales, the total volume of retail sales of consumer goods rose 8.1% from January to October from a year earlier, basically the same as in the previous three quarters. From the point of view of the internal structure, the daily category has maintained a relatively rapid growth, and some commodities related to the upgrading of consumption, including communications equipment, sports and entertainment goods, have maintained double-digit growth, it should be said that the overall consumption of residents is still relatively active. From the perspective of investment, the growth rate of investment is generally stable. From January to October, fixed asset investment increased by 5.2% from the same period last year, down slightly from the previous three quarters, but the internal structure continued to be optimized, and investment in high-tech industries maintained double-digit growth, including high-tech manufacturing and high-tech services. Have maintained a growth rate of about 14%, which has enhanced the stamina for the growth and growth of our new momentum.
Third, employment prices are generally stable. From the point of view of employment, as also mentioned in the press release just now, 11.93 million of the new jobs in cities and towns have been created in the first 10 months, and the expected target for the whole year has been exceeded ahead of schedule. Judging from the unemployment rate of the urban survey, the unemployment rate of the national urban survey was 5.1% in October, down 0.1 percentage points from September, indicating that the overall employment situation is relatively good. From the point of view of prices, the increase in prices in October was mainly driven by the rise in food prices, especially the prices of livestock and pork in food prices. From January to October overall, CPI rose 2.6 per cent from a year earlier, still within the expected target of about 3 per cent at the start of the year. Therefore, in terms of employment and prices, it has also maintained overall stability.
Fourth, foreign investment in foreign trade has improved. Exports improved significantly in October from a year earlier, from a year earlier to an increase of 2.1 per cent in October. From January to October, imports and exports increased by 2.4% and exports by 4.9%. As we all know, the growth rate of world trade has continued to decline since the beginning of this year, and it is not easy for China to achieve such a rate of import and export in the face of shrinking world economic and trade growth. From the perspective of foreign trade structure, the foreign trade structure is also continuously optimized. From January to October, the proportion of general trade accounted for 59.3%, an increase of 1.4 percentage points over the same period last year. At the same time, the import and export of private enterprises also maintained rapid growth. From the perspective of foreign investment, the actual use of foreign capital in January-September increased by 6.5% compared with the same period last year, which also maintained a relatively rapid growth rate. In addition, our foreign exchange reserves have increased from the beginning of the year and remain above $3 trillion.
Therefore, judging from the four commonly used aspects of the macro economy, namely, growth, employment, prices, and the balance of payments, on the whole, the economic operation has continued to maintain an overall steady and steady development trend. The main indicators are still running in a reasonable range. This overall situation of stability and progress has not changed. However, at the same time, we should also be soberly aware that at present, external instability and uncertainty continue to increase, domestic structural contradictions are still prominent, and there are still many risks and challenges to economic operation, so we should not underestimate them. In the next stage, in accordance with the arrangements of the CPC Central Committee and the State Council, we should continue to pay close attention to the implementation of the counter-cyclical adjustment policy, do our best to do a good job in the "six stability" work, and promote high-quality economic development.
Please continue to ask questions. Do you have any questions for foreign reporters?
Reporter from the International Market News Agency of the United States:
I have two questions. First, we see that the unemployment rate fell in October, which is contrary to the trend of increasing downward pressure on the economy. What are the reasons and reasons for this? Second, how do you expect prices, especially pork prices, to be on the rise? For example, by the first half of next year or the middle of the year will see pork prices or prices peak? Will such high prices limit some counter-cyclical policies, such as the implementation of monetary policy?
Thank you for your question. The first question is what the logic behind the urban survey of the reasons why unemployment continues to fall amid increasing downward pressure on the economy. I would like to explain this problem in four ways.
First of all, there is an incremental effect of the continuous expansion of the total economic output. In the first three quarters of this year, GDP still maintained a medium-to-high growth rate of 6.2%. According to our previous estimates, for every 1 percentage point of economic growth, employment will probably be driven by about 2 million. In fact, our 6.2 per cent growth rate should drive between 11 million and 12 million of total employment. The second is the factor of structural adjustment. In recent years, the trend of China's industrial structure adjustment from industrial-led to service-led has been consolidated. Compared with industry, the service industry has a stronger ability to absorb labor. By 2018, the proportion of the tertiary industry in GDP has risen to 52.2%, rising every year, so the change of industrial structure is an important factor. The third reason is that at present, more and more new business type support flexible employment. And in recent years, we have more and more policy incentives for entrepreneurial innovation, so the number of flexible employment is increasing. The fourth reason is the role of a stable employment policy. This year, we put the employment priority policy at the macro policy level, the party and the government attach great importance to promoting employment, this effect is also continuing to appear, especially in solving the employment of key groups has played a very important role. The national urban unemployment rate fell to 5.1% in October from 5.2% in September, the most important of which is the gradual improvement in the employment situation of college graduates. In October, the unemployment rate of college graduates between the ages of 20 and 24 fell by more than 1 percentage point, so it contributed a lot to the overall decline of 0.1 percentage points.
Therefore, the factors of total economic expansion, the factors of structural adjustment, the role of entrepreneurship and innovation, and the role of stable employment policies continue to play a role, these four aspects are currently under the downward pressure of the economy, A very important reason why the employment situation remains stable.
The second question is about the trend of pork prices and even the trend of CPI. Prices have been of great concern this month. CPI rose 3.8 per cent in October from a year earlier, 0.8 percentage points higher than last month. What do you think of 3.8%? It should be said that the current price increases continue to show the characteristics of structural increases. In terms of CPI as a whole, it was mainly driven by food prices, which rose 15.5 per cent in October from a year earlier, driving CPI up 3.05 percentage points and contributing 80 per cent to CPI. In the case of relatively high food prices, non-food prices continued to maintain a relatively stable upward trend, non-food prices rose 0.9% that month, contributing about 0.7 percentage points to the whole. This is an obvious structural feature.
Another structural feature is that it is also structural within the food. In food, the fastest rise is pork, pork prices rose 101.3% in October, leading the overall CPI nearly 64%, the contribution rate reached nearly 2/3, so pork prices are a major driver. However, the prices of other foods, including grain and oil prices, are relatively stable, and fresh fruits and vegetables, which have increased greatly in the early period, because after the fall, the overall climate is better, the supply is relatively adequate, so after entering October, year-on-year prices are falling. Among them, the price of fresh vegetables fell by more than 10%, and the price of fresh fruit fell 0.3% from 7.7% last month. The decline in the price of fresh fruits and vegetables has a drop of nearly 0.3 percentage points on the whole CPI. Therefore, whether from the CPI as a whole or within the food, there are such structural characteristics.
Overall, the core CPI in October was only 1.5%, the same as last month. From January to October, the core CPI was 1.7%, the same as in the previous three quarters. And CPI rose 2.6 per cent in January-October from a year earlier, still within expectations at the start of the year. Therefore, the overall CPI is still in a moderate upward trend.
There is also the trend of pork prices that you were concerned about just now. Judging from the current situation of pork, governments at all levels attach great importance to resuming pig production. Recently, they have taken a variety of measures to maintain supply and stabilize prices, and adopted various ways to increase pork supply. We promptly launched a mechanism for linking social assistance and security standards with rising prices, increased living subsidies for people in need, and ensured that the lives of people in need would not be affected. With the resumption of live pig production policies and measures gradually implemented on the ground, live pig production capacity will be gradually restored, pork prices will gradually stabilize. Thank you.
Economic data for October show that there is a lot of downward pressure. Is it possible that GDP will break 6% in the next two years? What other policies will there be to stabilize the economy? Thank you.
Thank you for your question. Just now, we also mentioned that the downward pressure on the economy continues to increase. At this time, how do we look at the trend of our economy in the future?. In a word, "there is a foundation in the long term and support in the short term." From a long-term point of view, after long-term development, we have accumulated a strong material foundation, increasingly perfect infrastructure, gradually complete industrial system, very rich human resources, increasing high-quality talents, and the scale of the market is also growing. In these respects, China's economy has enough resilience, great potential, but also vigorous vitality. In the short term, there is still a lot of support for the economy to continue to run smoothly.
The first factor is the continued release of consumption potential. As I said just now, the employment situation this year has been relatively stable, and the stability of the employment situation has brought about a steady increase in income, thus laying a very good foundation and providing very good conditions for the upgrading and expansion of consumption. As I mentioned just now, retail sales of physical goods have maintained relatively rapid growth, while consumption of services has grown relatively faster. During the "11" Golden week, box office receipts more than doubled from a year earlier, setting a new box office record for "11" Golden week. Judging from the catering income of retail sales of consumer goods, the first 10 months increased by 9.4% compared with the same period last year, and continued to maintain a relatively rapid growth, indicating that the growth of our service consumption is accelerating. We have also been measuring service consumption in the past two years. From the calculation results, in the first 10 months, service consumption has also continued to grow at a rate of more than 10%, maintaining a relatively rapid growth rate.
The second factor, the momentum of industrial upgrading continues to strengthen. On the one hand, the high-tech manufacturing industry and high-tech service industry have maintained relatively rapid growth; on the other hand, the transformation and upgrading of traditional industries are also moving forward. Car production, which has continued to grow at a low level so far this year, also showed signs of improvement, with car production narrowing in October and the added value of the auto industry rising 4.9%, 4.4 percentage points higher than last month. From the inside of the car, the output of models such as SUV and MPV has changed from decline to increase, which shows that the transformation and upgrading of the traditional industry is also moving forward.
The third factor, the vitality of openness continues to emerge. Since the beginning of this year, in view of the slowdown in international economic and trade growth, China has adopted a large number of policies and measures to promote trade diversification and trade facilitation and constantly optimize the business environment. According to the latest business environment ranking released by the World Bank, China's business environment has improved significantly in the past two years. By 2018, our business environment ranking has risen to 31st in the world. This shows that our improvement in the business environment has been recognized by the international community. From the perspective of foreign investment, we have also taken a lot of measures to increase the intensity of attracting foreign investment. In the first three quarters of this year, the utilization of foreign capital increased by 6.5% over the same period last year, which is 6.5% in the face of shrinking global capital flows. It shows that China continues to be a hot spot for foreign investment.
The fourth factor, the policy effect continues to appear. Since the beginning of the year, we have implemented measures such as reducing taxes and fees on a large scale and optimizing the business environment to lighten the burden on enterprises and stimulate the vitality of enterprises. These measures are now gradually bearing fruit. In the previous 10 months of newly registered market data, the daily average of nearly 20,000 newly registered enterprises, on the basis of last year's rapid growth continued to accelerate growth. The confidence of enterprises in the future development is still relatively strong, from the manufacturing production activity expectation index and non-manufacturing business activity expectation index in PMI, they all remain in the relatively high prosperity range. In terms of investment, there are also some new signs of improvement in investment this month. From January to October, the total investment in new projects has narrowed to about 4%, nearly 8 percentage points less than the lowest point this year. Therefore, the investment confidence of enterprises is also gradually recovering in the process.
From these aspects, the potential of consumption continues to be released, the kinetic energy of industrial upgrading continues to accumulate, the vitality of opening up continues to appear, and the effect of policy continues to appear. In the future, we have the foundation, the conditions and the confidence to achieve the expected goals for the whole year, and the economy will continue to develop healthily. Thank you.
China News Service reporter:
Recently, the National Bureau of Statistics released the income of rural residents in poor areas in the first three quarters. We note that this is the first time that the statistics department has officially released the relevant data, so how should the spokesman interpret its content?
Thank you for your question, and thank you for your attention to our statistical website, which was released just two days ago and for the first time. In fact, poverty alleviation and development work has always been the key content of our party and state work, and since the 18th CPC National Congress, it has been put in a more prominent position in governing the country and administration, and its achievements have also attracted worldwide attention. By the end of 2018, the number of poor people in China's rural areas had been reduced to 16.6 million, and the incidence of poverty had dropped to 1.7 percent. From the monitoring data, the living standards of poor residents are also improving, and the appearance of poor areas is also improving. 2019 is a crucial year in our fight against poverty. During the year, governments at all levels have taken a large number of measures to promote accurate poverty alleviation and precise poverty alleviation, and have also made a lot of achievements.
The income of rural residents in poor areas in the first three quarters we just announced is one of them. In the first three quarters, the income of rural residents has increased by 8% in real terms, which is 1.9 percentage points higher than that of all residents. It is 1.6 percentage points higher than all rural residents, which can be said to be a lead in growth. In terms of sources of income, three sources are growing very fast.
First, wage income is growing rapidly. In the first three quarters, the wage income of rural residents in poor areas increased by 12.2% compared with the same period last year, and the contribution to the increase in the income of rural residents in poor areas reached more than 40%. The growth of wage income can be said to be inseparable from the smooth operation of the economy as a whole. In the first three quarters of this year, China's GDP grew by 6.2%, ranking among the leading economies. The growth has not only brought about the stability of the employment situation, but also brought about an increase in the number and income of rural migrant workers in the central and western regions. Therefore, the growth of wage income is inseparable from the soundness of the overall economic situation.
Second, transfer income is growing rapidly. In the first three quarters, the net income of rural residents in poor areas increased by 12.7% over the same period last year, accounting for more than 30% of the overall contribution. Most of the transfer income comes from the government. This year, governments at all levels attach great importance to poverty alleviation and development, and the central government has set aside $126.1 billion as special funds for poverty alleviation, an increase of 18.9 percent over last year. Reflected in the per capita transfer income of rural residents in poor areas, an increase of 15.3%.
Third, operating income is growing rapidly. Operating income in the overall proportion is not particularly large, but this year's performance is very prominent. Net operating income rose 6.8% in the first three quarters, up 1.3 percentage points from a year earlier, and contributed nearly 20% to overall revenue growth. Among them, the growth of the first production is relatively significant, and the primary operating income is driven by the increase in summer grain production and the relatively rapid growth of animal husbandry products. In the first three quarters, net income from first production and operation fell by 3.9% in the same period last year to an increase of 3.8% this year, a substantial increase.
Therefore, these three aspects have made important contributions to the increase in the income of rural residents in poor areas, including the increase in wage income, the increase in transfer income and the increase in operating income. These three factors have brought about an increase in overall income. The increase in the income of residents in poor areas has played a very good role in promoting the improvement of their production and living conditions, and has also laid a very good foundation for our grand goal of building a well-off society in an all-round way next year. Thank you.
Phoenix Satellite TV reporter:
I have two questions. First, with regard to short-term economic risks, you have just mentioned strong factors that support them, but what do you think of short-term risks, especially if the first phase of the agreement between China and the United States has not yet been formally signed, including these uncertainties? Is it possible that economic growth will slow in the fourth quarter compared with the third quarter? Second, we are also concerned that the unified accounting reform of regional gross domestic product will be implemented in 2020. May I ask the background and purpose of this reform, as well as the goals we are looking forward to achieving? Thank you.
Thank you for your question. The first question is about the prospects for short-term economic growth. Judging from the economic performance so far this year, GDP grew by 6.2% in the first three quarters, continuing to maintain medium-to high-speed growth, which is also among the highest among the major economies in the world. Judging from the main indicators just released from January to October, including indicators in major economic sectors such as industry, services, investment and consumption, the cumulative growth rate is still basically the same as in the previous three quarters. It shows that the overall situation of economic operation has not changed greatly, and has still maintained the trend of steady operation. With the gradual effectiveness of the counter-cyclical regulation policy, it will help to give full play to the opportunities and advantages that exist in the medium to long term, and the potential energy for future growth will gradually accumulate. We have complete confidence in the sound, sustained and healthy development of the economy in the future.
The second question is about GDP unified accounting. First of all, thank you very much for your attention. This message was just sent yesterday. We have just held a mobilization and deployment meeting for the reform of unified accounting of regional gross domestic product. Unified accounting of GDP is a key task in the current statistical reform. In the early stage, the National Bureau of Statistics conducted in-depth investigation and research, conscientiously designed the scheme, and carried out pilot and trial calculations in depth. At present, various preparatory conditions are in place. In 2020, we will formally implement the reform of unified accounting and unified accounting of the gross domestic product of all regions in 2019. We will inform you of the specific progress of this work in due course. Thank you.
The relationship of time, the last question.
Reporter from the Central Radio and Television Station of the Central people's Republic of China:
I have two questions. First, I would like to add to the issue of GDP accounting by the National Bureau of Statistics. You have just mentioned that there will be a national unified accounting early next year. Earlier, there has also been an analysis that the economic census will in fact soon use GDP unified accounting data. How do you show it in here? The second question, in this release of CPI data, we see for the first time the release of the core CPI, of structural data other than pork and energy. How do you consider such an announcement? Is it related to the weight adjustment of food in the previous CPI? Is this announcement of the core CPI going on for a long time?
First, the economic census is also the focus of our statistical departments in 2019. After more than a year of serious and strenuous progress, the economic census has entered the final sprint stage. All our data review and summary are in the final sprint, and we will choose the opportunity to announce it to the society in the near future.
The second question, about this month's CPI core price index, is actually not the first time it has been released, and the core price index, excluding food and energy, is not our first. The reason why food and energy prices are deducted is that from the perspective of economic development experience, food and energy prices are more vulnerable to some seasonal and non-economic factors, so from the perspective of observing the operation of the economy, It is a common international practice to use the core price index to measure the price level of the whole society. The National Bureau of Statistics has released this indicator for many years, including monthly and cumulative data, and you can continue to focus on core CPI, especially in the current situation of large food price increases. It is necessary to make rational use of core CPI to measure the inflation level of the whole society. We also according to everyone's needs, in the analysis of the supply impact of pork prices after the data provided for your reference, but also for the whole society to judge the economic situation to provide a basis. Thank you.
Once again, thank you, Ms. Liu Aihua, and thank you, this is the end of today's press conference.