China economy to grow 6.6 percent, needs policy support – government think tank

Table of Contents


BEIJING (Reuters) – China’s economy will grow at about 6.6 percent this year, and will need to be underpinned by policy support in the second half to counter downward pressures, according to the China Academy of Social Sciences (CASS).

The forecast from one of China’s top government think-tanks was reported by the official Shanghai Securities Journal newspaper on Tuesday, and marked a slightly more downbeat outlook that one given in May, when CASS had forecast growth of 6.6 percent to 6.8 percent for the year. Consumer price inflation will likely rise 2 percent for the year, while the decline in producer prices will slow, according to the CASS forecasts. Inflation was running at 2.1 percent for the first five months of the year.

Retail spending growth will be stable, but money supply growth will slow, as will growth in investment in fixed assets and property development. CASS said China should deepen economic reform and restructuring in the second half of the year, optimise leverage levels, and clean up zombie firms.

(Reporting by Elias Glenn; Editing by Simon Cameron-Moore)

Subscribe to China Underground and get Planet China

To be updated with all the latest news, offers and special announcements.

China-Underground includes thousands of articles on news, Chinese history, Chinese art, Chinese literature , China pictures gallery, videos, and Chinese cinema.


Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.





To understand is difficult; to act is easy. Sun Yat-sen

Meaning: It's important to think and try to understand before acting. Origin: "Dr. Sun Yat-sen, father of the Chinese Republic, realised the detrimental effects of...