The World Bank raises its forecasts for East Asian growth, largely as a result of an economic rebound in China. The World Bank has upped its 2009 growth forecast for China from 7.2% to 8.4%, but says the nation needs to encourage more consumer spending.
The Washington-based body also raised its projection of 2009 GDP growth in East Asia as a whole to 6.7% from 5.3%, thanks to China’s strong growth.
But it said growth in the region could be just 1% if China was excluded.
And it said China, boosted by a recent stimulus plan, must move away from an industry and investment-based economy.
“The economic rebound in East Asia and the Pacific has been surprisingly swift and very welcome, but take China out of the equation and the regional picture is less rosy,” the bank said in a report.
“The rebound has yet to become a recovery.”
Original post:
China ‘boosts East Asian growth’
