Latest News:  
Beijing Overcast    30 / 24 ℃  City Forecast

English>>China Business

IMF: China economy on path for soft landing


14:22, July 25, 2012

WASHINGTON -- China is well placed to respond to possible deterioration of external environment and its economy may be undergoing a soft landing despite growing global headwinds, the International Monetary Fund said in a report on Tuesday.

"The economy has been slowing partly as a result of policy action to moderate growth to a more sustainable pace, but a worsening of the euro area crisis poses a key risk to the outlook," the Washington-based institution said in its annual Article IV Consultation Staff Report for China.

The IMF estimated China's economic growth would moderate to about 8 percent this year and then rise slightly to 8.5 percent in 2013. Without further shocks to agricultural supply, China's inflation is expected to stay in the 3-3.5 percent range this year and fall to 2.5-3 percent in 2013.

The IMF said China's macroeconomic policies are geared to slowing growth to a more sustainable pace, and continue to be adjusted in line with evolving conditions. It considered China's current fiscal stance as "appropriate" and monetary policy "consistent" with the authorities' economic objectives.

Executive directors of the Fund agreed that the key challenges for China's policymakers in the period ahead will be to achieve a soft landing for the economy while pushing ahead with reforms for a more balanced and sustainable expansion.

The IMF said policies should continue to be geared toward achieving this year's growth targets. In the event of a worsening of the external outlook, China has ample room to respond forcefully, using fiscal policy as the main line of defense and with emphasis on measures that support China's medium-term reform objectives.


Leave your comment0 comments

  1. Name


Selections for you

  1. Jinggangshan ship, hovercraft conduct joint training

  2. Aurora shooting suspect makes first court appearance

  3. Chinese airlines buck global downturn

  4. Jackie Chan launches China Olympic song

  5. Athletes warm up before London Games

  6. Rare Dalmatian Puppies - Cutest Pics!

Most Popular


  1. Lead economy on right track
  2. What to expect at London Olympics: Participants
  3. What to expect at London Olympics: Introduction
  4. US imports threat China's polysilicon enterprises
  5. Providing foreign aid a way to survive
  6. Talk of stock market boom immature
  7. Lawyer sues Japan over Diaoyu bid
  8. India looks to fresh partners in quest for growth
  9. China well on way to more balanced economy
  10. West wrong on Chinese public's Syria view

What's happening in China

Infants' drinking cups from S Korea fail inspection

  1. City's government pledges toll truth
  2. National network built for marriage registration
  3. Typhoon disrupts flights from Shanghai
  4. Thousands mobilized as Yangtze flood coming
  5. Grads should take blue-collar work

China Features

  1. Let languages grow freely
  2. 'Water-dripping' bed of Tujia nationality
  3. Manufacturing sector faces cost challenges
  4. Cooperation key to a bright future of East Asia
  5. People’s Daily makes weibo debut

PD Online Data

  1. Spring Festival
  2. Chinese ethnic odyssey
  3. Yangge in Shaanxi
  4. Gaoqiao in Northern China
  5. The drum dance in Ansai