"Expansion in China should moderate to 6.6 per cent in 2018 and 6.4 per cent in 2019 as economic policy leans further toward financial stability and a more sustainable growth trajectory," the ADB said.
The ADB said that service sector was fuelling China's continued growth, increasing by 8 per cent in 2017. Strong demand at home and abroad together with economic reforms lay the foundation for continued growth and macroeconomic stability in China, it added.
"Further progress on reforms such as strengthening financial sector regulation and supervision and addressing debt issues would lay a foundation for solid macroeconomic stability," the ADB said.
The ADB said other economies in the East Asian sub-region will see lower growth as well, mainly on account of moderating export growth.
"These developments will tamp down East Asian economic expansion to 6 percent in 2018 and 5.8 per cent in 2019," the ADB said.
The ADB's economic publication outlook provides a comprehensive analysis of macroeconomic issues in developing Asia, including growth projections for 45 economies, including China, India and the Philippines.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)