International Monetary Fund raises China growth forecast for 2017 to 6.8 pct

President of the World Bank Group Mr. Jim Yong Kim

President of the World Bank Group Mr. Jim Yong Kim

The IMF continues to expect United Kingdom economic growth to slow from 1.8% in 2016 to 1.7% this year and to 1.5% next year.

The International Monetary Fund (IMF) has delivered an unusually upbeat assessment of the prospects for the global economy, with worldwide growth now at its strongest rate in seven years. It now predicts growth of 3.6% this year and 3.7% in 2018 - 0.1% higher than its previous forecasts, and well above 2016's global growth rate of 3.2%. International Monetary Fund explained that it expects the Chinese authorities will "maintain a sufficiently expansionary policy mix (especially through high public investment) to meet their target of doubling real GDP between 2010 and 2020". "Growth prospects for emerging and developing economies are marked up by 0.1 percentage point for both 2017 and 2018 relative to April, primarily owing to a stronger growth projection for China, " said the International Monetary Fund.

The IMF also urged Chinese authorities to counter the associated risks by accelerating the "recent encouraging efforts to curb the expansion of credit".

In Egypt, growth would be 4.1% in 2017 and 4.5% in 2018.

China's booming economy continues to propel Asia and drive worldwide economic growth.

China's slower transition from an investment-based economy to a consumption-based one, the report said, "comes at the cost of further large increases in debt".

Analysts will look for signals about China's future economic and financial policies during the week-long Communist Party congress which starts on October 18.

In comparison, China's GDP growth has kept slowing down since 2010 and hit a 26-year lowest with 6.7% last year.

The government will publish third-quarter growth data on October 19.

Reviewing the problems of the Tunisian economy, namely, the low economic growth and a sharp rise in public spending including wages, combined with delays in implementing key reforms, the high unemployment, the WB estimated that the national unity government -a coalition of the main political parties and social partners-was formed a year ago, to tackle the needed reforms, but identifying a first move has proven hard. If this year's growth does beat 6.7 percent, it would mark the first rebound in seven years.