n its latest World Economic Outlook, the International Monetary Fund (IMF) raised its projection for China’s 2019 GDP growth from 6.2 percent to 6.3 percent while cutting the global growth outlook to 3.3 percent, a drop of 0.2 percent.
The higher forecast for China, according to the IMF, is based on reduced global uncertainties and China’s package of measures to stabilize the economy – the Chinese government, for example, has taken a series of measures to reduce taxes on private enterprises. Data from the National Bureau of Statistics shows that China’s Purchasing Managers’ Index (PMI) in manufacturing, a crucial index to show the level of economic activity, has risen to 50.5 percent in March, the highest in the past five months.
The IMF has suggested China focuses more on the rebalance of its economy and sustainable growth by further stimulating consumption. It also hopes China fosters a more market-oriented credit environment to better control financial risk and deal with bad debts.