CRI听力:China's Business Activities Expand at Slower Pace in April

China's purchasing managers' index, which measures the health of the manufacturing sector, stood at 50.1 in April, slightly down from 50.2 in March.

For non-manufacturing industries, such as service and construction, the index has come in at 53.5 in April, down from 53.8 in March.

Zhao Qinghe with the National Bureau of Statistics says the latest figures suggest the Chinese economy is gradually become more service-oriented.

"Investment in the services sector grew faster than the national average in the first quarter, and surpassed the annual growth rate of last year; it is also taking up a bigger percentage in the overall economy. Market confidence in the services industry has been relatively stable. Therefore, the sector is playing a more important role in stabilizing growth and helping the transformation and upgrading of the economy."

The PMI is calculated based on five major indicators: new orders, inventory levels, production, supplier deliveries and the employment environment.

A reading above 50 indicates expansion in business activity, while a PMI below 50 represents contraction.

China's manufacturing sector rebounded above 50 in March from February.

China's April PMI's for both the manufacturing and service sectors remained above 50, despite slight monthly drops.

Vice Chairman of the China Federation of Logistics and Purchasing Cai Jin notes the downward movement does not indicate a deterioration in China's economy.

"The slight drop of the index should be a normal fluctuation of the index movement, which does not mean that more fluctuated changes took place in the economic operation. And the index is still above 50, indicating a continuing positive sign of the economic development."

Out of the major industries surveyed, equipment manufacturing, high-tech, consumer goods and tourism were among those that showed signs of recovery and growth, while wholesale, catering, insurance and repairing industries reported a drop in business volumes.

While construction activity in April edged up slightly, the real estate sector posted lower growth.

Cai Jin with the China Federation of Logistics and Purchasing says that is symptomatic of a cooling housing market in China.

"The real estate market was in a correction mode in April, with both its business activity and new orders seeing a drop in index. Housing prices were also going down. It is experiencing a phase of cooling."

Sunday's figures also show employment in the service sector rose to a six-month high in April, indicating more jobs are being created by non-manufacturing companies.

For CRI, I'm Victor Ning.