GDP growth set to slow to 9.5% in 2007
13 November 2006
China's economic growth will slow to 9.5% in 2007, according to a report by the State Information Centre, a research institute under the National Development and Reform Commission, published by state media. The expected decline, which the report says will follow a 10.5% rise in GDP this year, will be driven by a slowing global economy as well as domestic cooling measures imposed by the government, Reuters reported. The report projected fixed asset investment growth to drop 6.5 percentage points to 20% in 2007, and the consumer price index to rise about 2%. Export growth is likely to be down nearly 10 percentage points to 15% as import growth falls 7.5 percentage points to 14%. The center also proposed limiting growth in the broad M2 money supply to 16% and imposing strict lending controls to keep new loans at US$381 billion.
