The economic forecast for Beijing is moderate, but better than the “sharply deteriorated” outlook for the EU.
China will outpace Western economies this year, having abandoned its zero-Covid rules and eased monetary and fiscal policy, a United Nations’ report has predicted.Growth in the world’s second-largest economy is projected to “moderately” improve in 2023 after a weaker-than-expected performance last year, hampered by severe lockdowns.Beijing’s GDP growth is projected to pick up from 3% last year to 4.8% in 2023, The World Economic Situation and Prospects report, published on Wednesday, predicts. The UN expects the reopening of the Chinese economy to be “bumpy” as growth is likely to “remain below the pre-crisis” rate of 6% to 6.5%.“The near-term economic outlook remains highly uncertain, however, as myriad economic, financial, geopolitical and environmental risks persist,” the report said, adding that global growth will “moderately” recover to 2.7% in 2024 if “macroeconomic headwinds begin to subside next year.”Earlier, UN Secretary General Antonio Guterres warned that a “severe slowdown” of the global economy looms large amid high inflation, aggressive monetary tightening and “heightened uncertainties”. He added that many economies “are at risk of falling into recession, having barely recovered from the shock of the pandemic.”
This article was originally published by RT.