<TABLE cellSpacing=0 cellPadding=0 width=452 border=0><TBODY><TR><TD vAlign=top width=452 colSpan=2>Published April 30, 2009
</TD></TR><TR><TD vAlign=top width=452 colSpan=2>Economy is on the mend, says Citic
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(HONG KONG) China's economy is recovering from a low point in November after a bigger-than-expected increase in investment in the first quarter of 2009, Zhu Jianfang, chief economist at Citic Securities Co, told reporters in Hong Kong on Tuesday.
'China's economy has hit its bottom and is now entering a recovery phase,' he said. 'Now we can see the effect of the stimulus package on investment growth.'
China's economy, the world's third largest, may rebound this quarter as Premier Wen Jiabao's four trillion yuan (S$871.3 billion) stimulus package cushions the country from the effects of the global recession.
Mr Zhu raised his growth forecast for investment to 20.6 per cent this year after a surge in the first three months. He predicts that China's economy will grow at 8.2 per cent this year, which compares with a raised forecast of 8 per cent from Goldman Sachs Group Inc last week.
Urban fixed-asset investment surged by almost a third in March and industrial-output growth accelerated, reports accompanying China's gross domestic product figures showed on April 16.
First-quarter GDP grew 6.1 per cent, the slowest pace in almost a decade, as exports slumped.
Yifan Hu, chief economist on global economy at Citic, said he expects to see more measures aimed at 'stimulating internal needs and the consumer market', in 2010. -- Bloomberg<SCRIPT language=javascript> <!-- // Check for Mac. var strAgent; var blnMac; strAgent = navigator.userAgent; strAgent.indexOf('Mac') > 0 ? blnMac = true:blnMac = false; if (blnMac == true) { document.write('
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</TD></TR><TR><TD vAlign=top width=452 colSpan=2>Economy is on the mend, says Citic
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</TD><TD>Feedback</TD></TR></TBODY></TABLE>(HONG KONG) China's economy is recovering from a low point in November after a bigger-than-expected increase in investment in the first quarter of 2009, Zhu Jianfang, chief economist at Citic Securities Co, told reporters in Hong Kong on Tuesday.
'China's economy has hit its bottom and is now entering a recovery phase,' he said. 'Now we can see the effect of the stimulus package on investment growth.'
China's economy, the world's third largest, may rebound this quarter as Premier Wen Jiabao's four trillion yuan (S$871.3 billion) stimulus package cushions the country from the effects of the global recession.
Mr Zhu raised his growth forecast for investment to 20.6 per cent this year after a surge in the first three months. He predicts that China's economy will grow at 8.2 per cent this year, which compares with a raised forecast of 8 per cent from Goldman Sachs Group Inc last week.
Urban fixed-asset investment surged by almost a third in March and industrial-output growth accelerated, reports accompanying China's gross domestic product figures showed on April 16.
First-quarter GDP grew 6.1 per cent, the slowest pace in almost a decade, as exports slumped.
Yifan Hu, chief economist on global economy at Citic, said he expects to see more measures aimed at 'stimulating internal needs and the consumer market', in 2010. -- Bloomberg<SCRIPT language=javascript> <!-- // Check for Mac. var strAgent; var blnMac; strAgent = navigator.userAgent; strAgent.indexOf('Mac') > 0 ? blnMac = true:blnMac = false; if (blnMac == true) { document.write('
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