IMF Ups China’s 2024 GDP Growth Forecast to 5 pct

A report from Xinhua on May 30th, 2024:

The International Monetary Fund (IMF) has raised its forecast for China’s GDP growth in 2024 to 5 percent from the April projection of 4.6 percent, IMF’s First Deputy Managing Director Gita Gopinath said Wednesday.

Gopinath made the remarks at a news briefing in Beijing after an IMF team visited China from May 16 to 28 for the 2024 Article IV Consultation.

The upward revision was “driven by a strong first-quarter GDP growth in 2024 and recent policy measures,” she told reporters.

The Chinese government has appropriately focused on addressing vulnerabilities in the property sector, local government debts, and smaller financial institutions, she noted.

According to Gopinath, China’s economic development over the past few decades has been remarkably driven by market-oriented reforms, trade liberalization and integration into global supply chains.

“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 (Chinese) authorities in this regard,” she said.

The IMF said in a Tuesday statement that during the visit to China, its team held “constructive discussions” with government officials, private sector representatives and academics to exchange views on economic prospects, risks, reform progress and policy responses.