China has reduced its economic growth for last year amid slower than expected expansion in the country's services industry, a sign that the slowdown in the world's second biggest economy is more severe than previously thought.
China's economic growth rate for 2014 was slashed to 7.3 per cent from 7.4 per cent reported earlier, the National Statistics Bureau reported on Monday.
The slight downward revision in the growth rate achieved by Asia's biggest economy in 2014 came after the country's services growth was cut to 7.8 per cent from 8.1 per cent.
China hopes to achieve an economic growth of around 7 per cent in 2015, which would be the lowest in two decades. Latest data has however put the country's growth target for this year under jeopardy with manufacturing activity plunging to its lowest level in three years last month. The official China manufacturing PMI fell to 49.7 in August from the neutral mark of 50 in July.
Moreover, a worsening rout in equities in China, which tumbled over 2.5 per cent on Monday amid speculation that state-backed funds had ceased buying, threatened to signal deep-rooted problems in the economy.