IMF: China Faces a “Hard Landing”

China faces a “hard landing” before the end of the decade unless policymakers implement the vital structural reforms that will make growth sustainable over the long term, the International Monetary Fund has warned.

In its annual healthcheck of the Chinese economy, the IMF recommended that China target growth of less than 7pc next year in order to reach its goal of “transitioning to a safer and more sustainable growth path”.

The IMF urged policymakers to step up efforts to move the economy away from its over-reliance on investment and exports to drive growth and shift the balance towards consumption. It also repeated its call for China to open up its economy, allow the renminbi to move with market forces and take further steps to rein in the country’s credit boom.

Telegraph

Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.