BEIJING, Feb 3 Reuters China39;s services activity in January expanded for the first time in five months as spending and travel got a boost from the lifting of stringent COVID19 curbs, sending business confidence to near 12year highs, a private sector survey showed on Friday.
The CaixinSP Global services purchasing managers39; index PMI rose to 52.9 in January from 48.0 in December, above the 50point mark which indicates expansion in activity, marking an end to a fourmonth contraction.
The reading mirrored the results of a larger official services PMI published earlier this week, adding to evidence of a rebound in activity in the world39;s secondlargest economy as disruptions from reopening fade.
China39;s abrupt dismantling of pandemic curbs and the subsequent fasterthanexpected peaking of infections boosted demand for services, especially during the weeklong Lunar New Year holidays, and set the stage for a faster and fuller economic recovery.
This year39;s celebration is the first in three years without any form of lockdown curbs. China abandoned its strict zeroCOVID policy in early December after protests against the restrictions, allowing people to travel and the virus to spread rapidly throughout the country.
Most ingredients in our restaurant have been sold out during Lunar New Year holidays, as we didn39;t expect so many customers, 33yearold surnamed Zhang, a restaurant manager in Beijing told Reuters this week, throughout the whole holidays, we can sell…