GDP grows 0.8 qq in Q2, vs 2.2 in Q1, shows slowing momentum
GDP expands 6.3 yy in Q2 due to low base effects
Frail data raises urgency to unveil more policy steps
Policymakers seen avoiding aggressive stimulus due to debt risks

BEIJING, July 17 Reuters China39;s economy grew at a frail pace in the second quarter as demand weakens at home and abroad, with the postCOVID momentum faltering rapidly and raising pressure on policymakers to deliver more stimulus to shore up activity.

Chinese authorities face a daunting task in trying to keep the economic recovery on track and putting a lid on unemployment, as any aggressive stimulus could fuel debt risks and structural distortions.

Gross domestic product grew just 0.8 in AprilJune from the previous quarter, on a seasonally adjusted basis, data released by the National Bureau of Statistics showed on Monday, versus analysts39; expectations in a Reuters poll for a 0.5 increase and compared with a 2.2 expansion in the first quarter.

On a yearonyear basis, GDP expanded 6.3 in the second quarter, accelerating from 4.5 in the first three months of the year, but the rate was well below the forecast for growth of 7.3.

The annual pace was the quickest since the second quarter of 2021, but it was heavily skewed by economic pains caused by stringent COVID19 lockdowns in Shanghai and other major cities last year.

The data suggests that China39;s postCOVID boom is clearly over, said Carol Kong, economist at Commonwealth Bank of…