China fixed-asset investment growth slows in May; misses market expectations

Beijing

GROWTH of China fixed-asset investment fell to its slowest rate in 16 years last month, another sign the economy is continuing to stabilise, but also prompts many to question how efficiently the recent liquidity injected into the system is really being used.

The drop comes after a year-long record credit binge which has so far stabilised the economy and avoided a sharp slowdown, but has not boosted activity as much as many would have hoped.

Other economic data published on Monday remained flat, suggesting a bo…