Saturday, March 29, 2008

China's 2008 economy forecast to increase 10.7%

The United Nations commission forecast on Thursday that China's economy would remain robust with a growth rate of 10.7% in 2008.

The relatively moderate growth rate is mainly due to a slowdown in exports and China's efforts to cool the economy, according to a report released by the UN Economic and Social Commission for Asia and the Pacific (UNESCAP). And other factors which may lead o the moderate growth include domestic demand, increasing spending power of rural consumers and rising consumption through higher government spending on social welfare.

The report noted that investment will continue to be the main driving force of the economy growth, and the U.S. sub-prime mortgage crisis would not weigh much on the economy growth in China.

China's steady decline of the exports to the U.S. will be offset by its increasing exports to the European Union, and the country also saw a boom in trade with Africa, according to the report.

No comments:

Enter your email address:

Delivered by FeedBurner