Chinese firms report improving Q4 business climate

Chinese firms reported an improving business climate in the fourth quarter (Q4) of this year, a central bank survey showed.

The business climate index stood at 55.5 percent in Q4, 2.2 percentage points higher than in Q3, according to a report from the People's Bank of China, whose results are based on surveys of over 5,000 industrial firms.

Respondents also reported improving profitability, with the index rising 2 percentage points from the previous quarter to 57.3 percent.

About 60.5 percent of surveyed entrepreneurs said the macroeconomy was running smoothly.

Sentiment for product selling prices and raw material purchasing prices both improved quarter-on-quarter, edging up 1.9 percentage points and 0.8 percentage points, respectively.