China’s Business Confidence at Lowest in 9 Years as Rising Covid Cases Hit Economic Activity

World Economics reported on Monday that a survey of Chinese businesses showed confidence at its lowest level since at least January 2013, a reflection of the impact of rising Covid-19 cases on economic activity and a likely recession next year.

According to a survey of sales managers at over 2,300 companies that was performed by World Economics from December 1-16, the index dropped to 48.1 in December from 51.8 in November. The index hit a new record low, the lowest since the poll began.

World Economics stated that “The survey suggests strongly that the growth rate of the Chinese economy has slowed quite dramatically, and may be heading for recession in 2023.”