China can only grow 6.5%

Monday 17 / 3, the World Bank (WB) lowered growth forecast of China in 2009, and Beijing recommendations should not be so pressured to achieve high GDP growth at any cost.
In reporting the latest quarterly update released today 17 / 3, WB revised forecast economic growth of China's 7.5% according to figures from last month down 6.5% 11/2008.

 
Although rated a series of measures to stimulate purchasing power in the stimulus package worth 585 billion dollars, the World Bank said that China has long focused too much on investment instead of creating more jobs and improved volume growth.

 
World Bank recommends China should reduce pressure on the GDP numbers, increased measures to make a strong economic growth and social environment more friendly. World Bank hopes, in 2009 growth of 6.5%, 4.9% will come from capital investment from government and domestic purchasing power. "The GDP is now somewhat reduced nor is disaster for the Chinese economy as well as social stability, especially when going down this process may be limited by system social security system, educational stability, "the WB report writing.

 
Predictions and recommendations of the World Bank launched in time the Chinese government is determined to achieve set targets 8% GDP this year. New Friday last week, Chinese Prime Minister Wen Jiabao said the government was ready to launch measures to stimulate the economy if necessary.

 
China's GDP reached only 2.5% in the third and fourth quarter last year. Most economists forecast growth in China of about 5 to 8% for the year. The World Bank said that China will take 16 to 17 million jobs outside the agricultural sector in 2009.

 
Global crisis lasted longer this year and possibly next year, mainly due to declining exports and weak investment funds. No country can escape the effects of this storm. However, WB optimistic about the basic economic factors in China are still strong enough to continue after 2009.