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World Bank lifts China 2025 GDP forecast to 4.8% ahead of a slowdown next year
The World Bank said it expected the rest of the East Asia and Pacific region to grow by 4.4% in 2025 - a 0.2 percentage point uplift - but stuck to its 4.5% prediction for 2026.
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The World Bank has boosted its 2025 growth forecast for China to 4.8 percent. However, it anticipates a slowdown next year. This is due to lower consumer and business confidence. Weak new export orders are also a concern. The East Asia and Pacific region's growth is also projected to rise. This outlook highlights a mixed economic picture ahead.
The World Bank lifted its 2025 growth projection for China to 4.8% and raised its forecast for much of the region, but warned of a slowing momentum next year, citing low consumer and business confidence and weak new export orders.
Publishing its biannual economic outlook for East Asia and the Pacific region on Tuesday, the World Bank said it now expected China to grow 4.2% next year, after forecasting in April growth of 4.0% both this year and next.
"Growth in China, the region's largest economy, is projected to decline ... because of an expected slowdown in export growth and a likely reduction in the fiscal stimulus in light of rising public debt, as well as continued structural deceleration," the authors of the report wrote.
The World Bank said it expected the rest of the East Asia and Pacific region to grow by 4.4% in 2025 - a 0.2 percentage point uplift - but stuck to its 4.5% prediction for 2026.
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Source: EconomicTimes
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