Thursday , May 13 2021

China's growth will slow to 6.3% in 2019, according to economists

Stock photos of the Chinese flag near some corporate buildings in Hong Kong. 6 July 2018 REUTERS / Bobby Ip

China's economic growth will be 6.6% this year and will slow to 6.3% in 2019, while the Asian giant faces trade-related challenges and structural reform. a report by economists at the Remin University in Beijing.

The forecasts released by the Chinese Academy of Social Sciences Information Service at the end of Saturday are in line with the 73-month average survey of 73 economists, which Reuters reported last month.

Beijing is under increasing pressure from the trade war with the United States.

But in the report, economists have warned China will continue to face difficulties even if tensions with the United States are resolved due to the deterioration of the global trading environment, declining export growth and currency devaluation.

China's Gross Domestic Product (GDP) grew 6.5% yoy in September, the lowest increase since 2009. Beijing has tried to encourage commercial banks to increase lending to private companies and to take measures to ease the financial troubles of companies.

Economists say China needs a new round of structural reforms. They also predicted that 2019 would be crucial to the restructuring of the country's economy and its long-term transition to a slower, more quality growth model.

The report states that next year there should be a rebalancing of Chinese foreign trade with the likelihood that imports will increase by 16.1%, compared with an increase of 6.1% in 2018.

In addition, the report states that Chinese consumer spending may increase by 9% next year, surpassing overall growth.

Information from David Stanway; Edited in Spanish by Javier Laura

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