IMF: China Has Plenty of Aces Up Its Sleeve

China has many tools to keep growth well above 7 percent next year, the International Monetary Fund said on Wednesday, downplaying the risks of the cooling property market in the world’s second-largest economy.

Economic growth in China will likely be “well above” 7 percent next year, Changyong Rhee, director of the Asia and Pacific department at the IMF, told a briefing in Manila.  His remarks suggested the global lender will upgrade its growth forecast for the country due next month from the current 7.1 percent estimate it made in July.

The IMF has a 7.4 percent growth forecast for China for 2014, slightly below the government’s official target of around 7.5 percent.  “We expect they have many tools to maintain the growth rate well above 7 percent next year,” Rhee said.

Reuters

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