A report written by a group of three analysts from Zhongtai Securities put job losses around 70 million people due to the economic fallout from the coronavirus pandemic
- Which would put the actual unemployment rate around 20.5%
- report dated April 24
This compares with the latest official jobless rate of 5.9% (March data) from the National Bureau of Statistics.
The analysts wrote:
- "The urban surveyed unemployment rate is obviously flawed in depicting the unemployment situation, because of China's special condition that there is a very large group of migrant workers and that the urban surveyed unemployment rate couldn't truly reflect the employment situation of migrant workers"
Their firm has subsequently withdrawn the report:
- "Zhongtai's attitude is that we should go by the official figures for unemployment,"
Plenty of traders express a degree of scepticism on data from China. This sort of event adds weight to their concerns.