Asia Bizz: The GDP growth rate in China is expected to slow down this year, as it will be pulled to 9.8% in the market and inflation too would be around 3.7% which is quite normal. Credit distribution is quite strict this year and thus the growth rate should get affected with this, and domestic demand will surely replace investments as the driving force of the nation’s economy.
China’s GDP in the year 2010 was the highest and it remained that way for the entire year, which was quite impressive. As the year passed by, the inflation which is shrouding the nation for three years, has eventually got hold of the rising economy, and as a result the GDP will suffer this year.
JP Morgan Chase and the World Bank have predicted that China’s economy will surge to 9.6% and to a very low 8.4% for the year 2012. Property rates in China too will shoot up accordingly and this should affect most of the citizens. As there is consistency seen in the market, it should not affect the country on a massive scale.