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Things are looking up for China.
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The world's second-largest economy expanded by 6.4 percent in the first three months of the year.
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Just a little bit higher than economists' expectations of 6.3 percent.
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So what does this mean for China?
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For one, it shows that concerns over a trade war with America are fading.
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President Donald Trump backpedaled last month on vows to ramp up tariffs on Chinese goods.
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And the two countries are aiming to wrap up talks within a month.
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On the domestic front, the rosy gross domestic product numbers demonstrate that a stimulus plan is kicking into gear.
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China usually waits until March to allocate local government bond quotas.
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This year, Beijing made sure that local governments were raising debt as early as January, in order to spend on infrastructure projects.
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To show they're serious about spending, local leaders raised Rmb 1.2 trillion.
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That's about $179 billion in the first quarter.
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In the same period in 2017 and 2018, they didn't raise anything.
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There's also a Rmb 2 trillion tax cut coming down the line.
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Economists are mixed on whether the taxes will have a meaningful impact this year.
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Are there risks?
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Absolutely.
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The biggest is an unwanted surprise on trade talks with the US.
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A bad deal, or no deal for China,
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Economists aren't too worried about the Chinese property sector, one of the biggest contributors to GDP growth.
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Property sales have been rising, and so are prices, according to a recent survey.
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But there are some signs of a slowdown in construction.
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Land sales were down in the first three months of 2019.
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That means developers aren't buying as much, and probably won't build as much this year.
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Any sharp, unexpected correction in the market would be devastating for growth in China.
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There's also a chance the stimulus could get the better of China.
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If the trade deal with the US delivers a positive result next month, Beijing will probably need to tone down the spending in order to avoid excess debt growth.
