China’s GDP growth forecast raised for this year to 6.5 percent on Thursday, up from 6.4 percent in its last forecast in January
According to the World Bank, Chinese GDP growth forecasts are higher than expected. Indeed, the World Bank raised China’s GDP growth forecast for this year to 6.5 percent, up from 6.4 percent in its last forecast in January. The analysis made by the Central Bank, which concerns an updated growth forecast for the East Asian and Pacific region, also noted that China has made significant progress in its economic restructuring.
According to the report: “After growing faster than anticipated in 2017, China is expected to slow moderately to 6.5 percent in 2018 as its economy continues to rebalance away from investment and toward domestic consumption with policies that focus more on slowing credit expansion and improving the quality of growth”.
Furthermore, Hu Yuexiao, chief economist of Shanghai Securities, said that the basic trend will be “stable and improving growth. Although its GDP growth rate has not picked up significantly, the quality of growth has improved. As investment stabilizes and corporate profit levels rise, the market will become more confident in the country’s economy”.
The National Bureau of Statistics said the solid growth of the Chinese economy will forcefully help push global economic recovery and provide unprecedented development opportunities for people of other countries.
If we want to find differences with the rest of the world, China average annual GDP growth during this period was 7.2 percent, much faster than that of the United States, eurozone economies and Japan.
If the forecast predicted by the World Bank were true, China’s contribution to global economic growth may reach 34 percent and it will account for 15.3 percent of total global GDP.
According to NBS, China is also helping companies from other countries: “More and more enterprises from the developed economies have entered the China market and made huge profits and strengthened cooperation with the Chinese side”.