The World Bank has raised China’s 2025 economic growth forecast from the previous estimate of 4.0% to 4.8%, but warned that growth momentum may slow in 2026 due to weak consumer and business confidence and sluggish new export orders.
In its semi-annual East Asia and Pacific Economic Outlook report, the global lending institution noted, “Growth in the region’s largest economy, China, is expected to decline… due to projected slowdown in export growth, likely reduction in fiscal stimulus given rising public debt, and ongoing structural deceleration.” September data showed China’s industrial output and retail sales growth falling to their lowest levels in nearly a year, highlighting that the country’s economy remains far from achieving a strong recovery.
Analysts expect the Chinese government may introduce additional stimulus measures to support its annual growth target of around 5%.
The World Bank forecasts that the East Asia and Pacific region will grow by 4.4% in 2025, an increase of 0.2 percentage points, while maintaining its 2026 growth projection at 4.5%.
World Bank
The World Bank is an international financial institution established in 1944 to help rebuild nations devastated by World War II. Today, its primary mission is to reduce global poverty by providing loans and grants to the governments of developing countries for capital projects and policy programs.
East Asia and Pacific Economic Outlook report
The “East Asia and Pacific Economic Outlook” is not a physical place or cultural site, but a regular economic report published by the International Monetary Fund (IMF). It provides analysis and forecasts on the economic performance and prospects for the East Asia and Pacific region. These reports track the region’s economic history, growth trends, and policy challenges over time.
China
China is one of the world’s oldest continuous civilizations, with a recorded history spanning over 3,000 years. It is renowned for ancient cultural contributions such as the Great Wall, which was built over centuries to protect against northern invasions, and the philosophical teachings of Confucianism. Today, it is a modern nation that blends this profound heritage with rapid technological and economic development.
