China's GDP to grow by 8.4 percent in 2013

The bank Wednesday raised its 2013 growth forecast for China, citing the government's fiscal stimulus plans and faster approval of investment projects, among other factors, the Global Times reported Thursday.

The bank also forecast that growth will reach 7.9 percent for 2012, significantly down from 9.3 percent in 2011.

This was caused mainly by a slowdown in domestic demand following policy tightening to cool an overheating housing sector, and weaker external demand from high-income economies, the World Bank said in its East Asia and Pacific Economic report.

The World Bank's latest forecast for 2013 is higher than its earlier projection of 8.1 percent in October, but is slightly lower than the estimate made last week by the Chinese Academy of Social Sciences, a top government think tank.

 

The academy had forecast that China's GDP would grow by 8.5 percent next year, fuelled by government investment in infrastructure projects.