China GDP Poised To Outperform World Average In 2023 – PwC

China’s GDP growth rate in 2023 will likely beat the overall international average, PwC China senior economist G. Bin Zhao said at an event in Shanghai on Thursday organized by Forbes China, the licensed Chinese-language edition of Forbes.

GDP next year will likely increase between 5% and 6%, buoyed in part by a gain in consumer spending as pandemic restrictions in the country ease, Zhao predicted.

Zhao didn’t give a global GDP forecast. The OECD said last month global GDP will likely increase by 2.2% in 2023, down from 3.1% this year.

With China’s economic growth likely to come in at approximately 3% this year, GDP in 2023 will have the benefit of a “low base,” Zhao said.

Investors upbeat about the country’s retreat from stringent zero-Covid policies that hurt consumer spending and disrupted global supply chains helped to push up stock prices in China this month. The benchmark CSI 300 index yesterday closed up by 1% to 3,998.24, its best close since Sept. 15.

Authorities are likely to reduce Covid restrictions domestically first, before following up with measures to ease rules on international arrivals in the country next year after expected changes in government leadership following the Communist Party’s congress in October, Zhao said in a recent interview.

The risks hanging over the global recovery next year aren’t likely to differ much from this year, Zhao told the Forbes China event. Economic fallout from the Russia-Ukraine War continues to hang over international business, along with the trajectory of the Covid pandemic, inflation and strained ties between the U.S. and China, he said.

See related posts:

iPhone Maker Wistron Warns Global Supply Chain Shifts Face Talent, Parts Obstacles

Supply Chain Shocks Open New Room For U.S.-Taiwan Business Ties

@rflannerychina