2024 RT Amination Banner.gif

China Daily

News> Business> Content
Thursday, December 24, 2020, 10:45
WB: China's economic activity normalizes faster than expected
By Reuters
Thursday, December 24, 2020, 10:45 By Reuters

BEIJING - Economic activity in China has normalized faster than expected, according to the latest report published by the World Bank.

According to the report, it attributed the pick-up growth to the country's effective epidemic-control strategy, strong policy support and resilient exports.

China's gross domestic product will grow 2 percent this year and accelerate to 7.9 percent in 2021, according to the report.

According to the latest report published by the World Bank report, it attributed the pick-up growth to the country's effective epidemic-control strategy, strong policy support and resilient exports

ALSO READ: World Bank: China's GDP growth rate to stay at 6.1%

"The external environment is expected to remain challenging and highly uncertain," reads the report, echoing China's tone-setting economic meeting that concluded Friday, saying that the country still faces external uncertainties amid the changing epidemic situation, and the nation's economic recovery is not yet solid.

According to the report, it suggests navigating near-term uncertainty by adopting an adaptive policy framework calibrated to the pace of the recovery both in China and the rest of the world.

READ MORE: China's economy to grow by 2% in 2020, says World Bank

"A premature policy exit and excessive tightening could derail the recovery," said the report. "Along with a flexible and supportive monetary policy, China could use its fiscal space to hedge against downside risks to growth and ensure a smooth rotation from public to private demand."

According to the report, it called for the country to shift fiscal focus from traditional infrastructure investment to more social spending and green investment for a greener and more inclusive growth.


Share this story

CHINA DAILY
HONG KONG NEWS
OPEN
Please click in the upper right corner to open it in your browser !