Bangkok (People's Daily) - The Asian Development Bank has revised its growth forecast for China on the strength of domestic consumption.
In a supplement to its Asian Development Outlook Update 2017 report, the regional lender said it expects growth in China to expand by 6.8 percent in 2017 and 6.4 percent in 2018.The bank also revised its growth forecast upward for East Asia to 6.2 percent in 2017 from 6 percent, while its 2018 projections of 5.8 percent remained unchanged.
Stronger than expected exports and domestic consumption will drive stronger than expected growth in Asia, the new report said.
The regional lender lifted its Asian growth outlook to 6 percent in 2017, and excluding the region’s newly industrialized economies, the bank expects this year’s growth to reach 6.5 percent.
"Developing Asia's growth momentum, supported by recovering exports, demonstrates that openness to trade remains an essential component of inclusive economic development," the bank's chief economist was quoted as saying.
Meantime, the bank said inflation has not yet been affected by rising commodity prices. It said its previous price inflation forecasts of 2.4 percent in 2017 and 2.9 percent in 2018 remain unchanged.