Michelle ThompsonAccording to the report, the outlook is clouded by weakness in the real estate sector and global demand, high debt levels, population aging, and slow productivity development.
According to the World Bank, China’s economy will rise 4.5% next year and 4.3% in 2025, as the recovery remains “fragile.”
The bank warned in its updated outlook report on Thursday that growth will fall from 5.2% this year, implying “considerable downside risks” to the outlook.
“The outlook is clouded by continued weakness in the real estate sector and persistently tepid global demand in the short term, as well as structural constraints to growth, including high debt levels, population ageing, and slower productivity growth than in the past,” the research added.
In its October report, the bank raised its forecasts from 5.1% this year to 4.4% next year.
According to the most recent official statistics figures, China’s GDP increased 4.9% year on year in the third quarter of 2023. Its economy rose 1.3% in the third quarter, following a 0.5% increase in the second quarter.
