Latest News:  


Warning issued over global economy risks

By WEI TIAN (China Daily)

08:34, December 26, 2012

A sluggish global economy will pose challenges and policies must be tailored to address the risks, a top think tank said on Monday.

"The global economy will experience low growth, at best, over the next few years," said Zhang Yuyan, director of the Institute of World Economy and Politics at the Chinese Academy of Social Sciences.

The academy's latest report, The World Economy Analysis and Forecast, put global growth for 2013 at 3.5 percent.

The forecast by major international institutions, such as the World Bank, International Monetary Fund, and the United Nations, put global growth rates between 3.6 and 4 percent in 2013.

Zhang said the forecast was due to concerns over the "fiscal cliff" in the US, the eurozone crisis and growing trade protectionism.

The fiscal cliff refers to tax increases and spending cuts that will automatically kick in at the beginning of 2013 if a budget agreement is not reached.

"If the US falls off the fiscal cliff it will enter a full recession and pose a major threat to the global economy.

"Even if it successfully avoids the cliff, it will adopt further easing measures that will lead to excessive global liquidity, which will push up inflation in other countries," Zhang said.

The academy report forecast that the US economy will rise slightly from 2.4 percent in 2012 to 2.5 percent in 2013.

【1】 【2】

We recommend:

Riding on BJ-GZ high-speed railway

The spending of China's rich

More Chinese cities see home price rise

Santa is coming and China takes a lot more notice

Harbin-Dalian high-speed railway starts operation

Nanjing Yangtze Fourth Bridge to open


Leave your comment0 comments

  1. Name


Selections for you

  1. Submarines in confrontation drill

  2. China's J-11 fighters fly over Mt. Qomolangma

  3. Splendid moments in 2012

  4. China in winter snow wonderland

  5. With me, you are not alone

  6. Internet gaming: 'A winning gamble'

  7. World's hottest supermodels in 2012

  8. Top 10 Chinese entertainment events

Most Popular


  1. Optimism over China's economy surfaces
  2. Internet gaming: 'A winning gamble'
  3. People have right to know what chickens eat
  4. Catchwords in memory in 2012
  5. Why the young Chinese get physically weaker
  6. Why Discover China is popular in the West
  7. The laughter sounds too harsh
  8. Do not confuse Confucious with Santa Claus

What’s happening in China

11 Chinese children dead after van plunges into pond

  1. Chinese man hits students with car
  2. More details revealed in fatal school van crash
  3. Good Samaritan vote attracts 80 mln netizens
  4. Draft law to protect personal privacy
  5. 89 children rescued in Chinese trafficking ring bust