CHINA’S economic growth jumped to 7.8 percent in the third quarter, analysts forecast ahead of the release of the figures tomorrow, the first acceleration in the second-largest economy for almost a year.
The median forecast in a survey of 11 economists saw growth ahead of both the 7.5 percent logged in the April to June period and 7.7 percent in the first quarter of the year.
“Both the confidence and demand within the country have improved,” said Sun Junwei, a Beijing-based economist with HSBC. “Therefore, we feel the economy is on track to have a mild recovery.”
The jump was mainly a result of government stimulus since late June that featured increased rail and urban fixed-asset investment, tax cuts and loose monetary policy, economists said.
Beijing, which has set a growth target for this year of 7.5 percent, was unlikely to have room for more stimulus measures, with tightening possible in some sectors, they added.
China’s new leaders have so far avoided taking aggressive pump-priming measures similar to those seen in response to the global financial crisis, preferring a long-term goal of rebalancing the economy. – Sapa-AFP