The International Monetary Fund (IMF) has raised its forecast for China’s economic growth in 2024 to 5 percent, signaling confidence in the country’s economic trajectory. This projection marks a 0.4 percentage point increase from the IMF’s April forecast, driven by strong first-quarter GDP data and recent policy measures.
Gita Gopinath, First Deputy Managing Director of the IMF, announced the revised forecast following the conclusion of the IMF’s 2024 Article IV consultation on the Chinese economy. She stated, “China’s strong economic performance in the first quarter and proactive policy measures have contributed to a more optimistic outlook for 2024.”
The IMF also projected China’s economy to grow by 4.5 percent in 2025, another upward revision of 0.4 percentage points from earlier estimates. These adjustments reflect the IMF’s recognition of China’s ongoing efforts to stabilize growth amid global economic uncertainties.
Gopinath highlighted China’s significant role on the global stage, noting, “China plays an important and constructive role in supporting debt restructuring in low-income and vulnerable countries and promoting the green transition. The Fund looks forward to continued cooperation with the authorities in this regard.”
The revised forecasts are expected to bolster confidence among global investors and business professionals looking to engage with the Chinese market. Analysts suggest that China’s economic performance will have substantial implications for regional and global economic trends.
Reference(s):
cgtn.com
