Goldman Sachs has cut its growth forecasts for the Chinese economy, in the latest sign of pessimism over the country’s muted post-Covid rebound.
The investment bank lowered its gross domestic product estimate to 5.4 per cent from 6 per cent, citing “persistent growth headwinds and constrained policy responses”.
“After a strong start in Q1, China’s post-reopening recovery appears to have fizzled out in Q2,” analysts wrote, pointing to property market weakness and falling exports.
Authorities delivered a small cut to interest rates last week but while more support is widely anticipated, few economists believe it will deviate from the current cautious policymaking trajectory.
Credit: Source link
