China's Youth Unemployment Rates Suspended as Central Bank Cuts Interest Rate to Boost Struggling Economy

China has announced that it will suspend the release of youth unemployment rates, as its central bank cuts a key interest rate in an effort to boost flagging growth. The National Bureau of Statistics (NBS) has stated that it will no longer release age-group-specific unemployment data, citing the need to improve and optimize labour force survey statistics.

The move comes as China faces a series of weak economic indicators, with youth unemployment hitting a record 21.3 percent in June. Overall unemployment rose to 5.3 percent in July, compared to 5.2 percent in June. The suspension of youth jobs data may further weaken global investors' confidence in China.

The recent data suggests that China may struggle to achieve its five percent growth target for the year. In an attempt to revive demand, Chinese leaders have implemented targeted measures and declarations of support for the private sector.

Additionally, the central bank has cut the medium-term lending facility rate, reducing commercial banks' financing costs and potentially encouraging them to lend more to boost domestic spending. However, analysts are skeptical that these measures will be enough to prevent a downward spiral in the Chinese economy.

The country slipped into deflation for the first time in over two years in July, due to waning consumption and declining exports.