Asia Pacific: Economic overview
Although India and some other major Asian economies will see improved economic growth next year, the outlook is less positive elsewhere – including in China.
China’s economy is expected to grow by 6.5% next year, down from 6.7% this year, according to the latest outlook from the World Bank, published in June. This follows GDP growth of 6.9% last year, marking another year of reduced growth for China – a trend that is expected to continue through 2018. The weak external demand weighing on growth is being tempered by the government’s efforts to help stabilise the economy. China’s service sector has overtaken manufacturing to become the major driver for economic growth. Although economic expansion is forecast to slow this year, gas consumption is increasing at a higher rate than last year and is anticipated to continue to do so for the rest of 2016.