China expands at slowest rate in three years

China's economy, the world's second-largest, has expanded at its slowest pace in almost three years.

Gross domestic product increased by an annual rate of 8.1% in the first quarter, down from 8.9% in the previous three months, the BBC reported. That is less than many analysts had forecast with most of them expecting a figure closer to 8.3%. The reading will raise concerns that China's fiver-quarter long slide has not bottomed and more policy action will be required to halt the slow-down. China has been hit by a drop in demand in key markets including the US and Europe. At the same time domestic demand has proved tough to stimulate. Residential real estate investment grew at its sl...