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China’s Economic Growth Slower Forecast Next Year


十一月, 26 2018
watermark Economic news

The economic growth forecast of China is anticipated to reach 6.6 percent in 2018 and get slower by 6.3 percent next years as the country is faced with obstacles related to trade and structural reform, according to a report from Renmin University.

The forecast from the China Academy of Social Sciences news is still in line with Reuters figure of 73 economists last month amid the worsening tension on the trade war with the United States.

Yet, the country might still struggle even if the trade tension gets settled as described by Renmin University’s School of Economics. Moreover, there will be worsening global trade environment, the decline of export growth and depreciation of the currency.

The GDP growth rose to 6.5 percent year-on-year in the third quarter, which was the slowest growth since 2009. Beijing attempted to boost lending of commercial banks to private companies to minimize financial problems.

Short-term actions will no be an easy strategy to solve downward economic pressure on China Latest policies are expected to prevent downward growth next year although, there is a need for a reform in the structure of the supply.

Next year will be significant to restructure China’s economy to long-term transition which will be a better growth model.

The report says that imports will likely rise to 16.1 percent compared this year’s growth of 6.1 percent with goals of rebalancing China’s foreign trade. Consumer spending is also anticipated to increase by 9 percent next year, surpassing the overall growth.

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