Is China’s economy focusing more on services?

<p>China’s services sector could be the key to maintaining growth in the Asian economy,</p>

China's economy may be looking to invest more in services as a means of bringing about the sort of growth the nation enjoyed for two decades before its minor slowdown last year.

Bloomberg reports that services had the biggest share of the country's economy in 2011 for the first time, outpacing agriculture's 34.8 per cent and manufacturing's 29.5 per cent.

These gains have helped the Communist Party maintain social stability by keeping a lid on unemployment, which a research centre estimates is at more than eight per cent in urban areas in July.

Services employment rose by the most in more than two years in December 2012, according to HSBC's purchasing managers' index, while a government report also showed an uptick in services jobs as factory employment remained weak.

At close of play in Shanghai this morning (February 19th), the SSE Composite Index rose by 1.6 per cent to 2382.9 points.

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