BEIJING, Sept 7 Reuters China39;s exports and imports extended declines in August as the twin pressures of sagging overseas demand and weak consumer spending at home squeezed businesses in the world39;s secondlargest economy, although the falls were slower than expected.

While the trade numbers follow a run of other indicators showing a possible stabilisation in China39;s downturn, they remain far short of the growth economists anticipated earlier this year when the government abandoned its strict COVID curbs.

Exports dropped 8.8 in August yearonyear, customs data showed on Thursday, beating a forecast of 9.2 in a Reuters poll and off a 14.5 drop in July. Meanwhile, imports contracted 7.3, slower than an expected 9.0 decline and last month39;s 12.4 fall.

China39;s economy is at risk of missing Beijing39;s annual growth target of about 5 as officials wrestle with a worsening property slump, weak consumer spending and tumbling credit growth, leading analysts to downgrade forecasts for the year.

The trade data is marginally better, but I don39;t think we should be reading too much into that trade is still contracting, said Frederic Neumann, chief Asia economist at HSBC.

There is a bit of a sign here of stabilisation, but I think there39;s still a long way to go, he added.

Beijing has announced a series of measures in recent months to shore up growth, with the easing of some borrowing rules last week by the central bank and the top financial regulator to aid…