IMF Revises Up Forecast For China's 2020 GDP Growth, Downgrading Estimate For 2021

The International Monetary Fund (IMF) has revised upwards its forecast for China's economy growth in 2020 to 6 percent, at the same time revising downwards its forecast for 2021 to 5.8 percent

WASHINGTON (UrduPoint News / Sputnik - 20th January, 2020) The International Monetary Fund (IMF) has revised upwards its forecast for China's economy growth in 2020 to 6 percent, at the same time revising downwards its forecast for 2021 to 5.8 percent.

China and the United States signed earlier this month the Phase One Trade Agreement and agreed to promptly start discussing the final phase of the deal.

"Growth in China is projected to inch down from an estimated 6.1 percent in 2019 to 6.0 percent in 2020 and 5.8 percent in 2021," the IMF said in its World Economic Outlook (WEO), released on Monday.

"The envisaged partial rollback of past tariffs and pause in additional tariff hikes as part of a "Phase One" trade deal with the United States is likely to alleviate near-term cyclical weakness, resulting in a 0.2 percentage point upgrade to China's 2020 growth forecast relative to the October WEO. However, unresolved disputes on broader US-China economic relations as well as needed domestic financial regulatory strengthening are expected to continue weighing on activity," the IMF went on to say.