The International Monetary Fund (IMF) has elevated the Chinese mainland's economic growth forecast for 2024 to 5%, up from the previous estimate of 4.6% in April. This optimistic revision is primarily driven by a resurgence in private consumption and robust export figures in the first quarter.
The IMF highlighted that \"in the Chinese mainland, resurgent domestic consumption propelled the positive upside in the first quarter, aided by what looked to be a temporary surge in exports belatedly reconnecting with last year's rise in global demand.\" This renewed domestic activity has played a crucial role in fortifying the mainland's economic outlook.
While the IMF maintained its global growth forecast at 3.2% for 2024, it underscored the pivotal role of Asia's emerging market economies in driving this expansion. Specifically, growth in India and the Chinese mainland has been revised upwards, now accounting for nearly half of the global economic growth.
Pierre-Olivier Gourinchas, the IMF's Chief Economist, noted in a blog post that \"Asia's emerging market economies remain the main engine for the global economy. Growth in India and the Chinese mainland is revised upwards and accounts for almost half of global growth.\"
The updated forecast was announced in late May by Gita Gopinath, the IMF's First Deputy Managing Director, during a news briefing in Beijing. This update follows the conclusion of the IMF team's 2024 Article IV Consultation for the Chinese mainland, reflecting a more confident outlook for the region's economic performance.
Reference(s):
cgtn.com
