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China's economic powerhouse Shanghai enjoyed fast economic expansion in 2002 with estimated gross domestic product (GDP) growth of 10.9 percent, sources with the Shanghai Bureau of Statistics said.

According to the bureau's vice-director Pan Jianxin, Shanghai's GDP last year is estimated to exceed 540 billion yuan (65 billion US dollars).

Pan said it was the 11th consecutive year that Shanghai had retained double-digit GDP growth which was at least two percent higher than the national rate. "It is also a record high since 1998," he added.

Pan said economic indices in 2002 showed the city had withstood the first round of challenge since China's accession to the World Trade Organization.

He cited fluctuating quarter indices, saying that the first quarter of 2002 saw a drop in GDP growth to 9.6 percent but the second quarter recovered at 10.4 percent, and the third and fourth quarters continued in double digits.

The vice-director said the industry and service sectors mainly fueled the growth.

He highlighted the service and real estate sectors with their rapid growth of 17 percent and 14 percent respectively.

The policy of encouraging domestic demand also contributed to Shanghai's whole development, he said, adding that both investment in fixed assets and retailing revenue exceeded 200 billion yuan ( 24 billion US dollars). 

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