Deutsche Bank lifts China's GDP growth prediction from the
previous 10.7 percent and 9.7 percent to 11.4 percent and 10.2
percent in 2007 and 2008 respectively.
Deutsche Bank chief economist in China Ma Jun said they lifted
the figures because China's GDP growth in the second quarter
reached 11.9 percent, 0.7 percentage points than their previous
prediction.
Moreover, China's National Bureau of Statistics had changed the
GDP growth rate for 2006 from 10.7 percent to 11 percent, implying
China's potential growth rate was underestimated.
On the other hand, in the second quarter, China's fixed-asset
investment growth rate, two percentage points higher than the
corresponding period last year, might reach 25 percent in the
second half of 2007, he said.
"We lifted the prediction for 2008 mildly from 9.7 percent to
10.2 percent because we are concerned about the U.S. economy," Ma
said.
Ma pointed out that if the U.S. economy slowed down, China's
exports, particularly in furniture, electronic appliances and
textile sectors, might decline.
He also forecasted industries driven by domestic demands, such
as banking, cement, coal and retail business, will continue with
their momentum.
(Xinhua News Agency September 22, 2007)
