China’s economy is predicted to expand 6.8 percent in the third quarter, drawing strength from the country’s supply-side structural reforms, property market recovery and global economic improvements, according to a government think tank report.
The predicted growth by the Chinese Academy of Social Sciences (CASS) is slightly lower than the 6.9-percent expansion seen in the first half of the year, but still well above the government annual target of 6.5 percent.
The GDP growth rate for the third quarter is due to be released on Oct 19.
CASS estimates that the country’s industrial output and consumption will continue to rise, although growth in investments might slow as property and infrastructure investment could come under downward pressure.
Official data showed China’s property investment rose 7.9 percent year-on-year in January-August, unchanged from the growth in the first seven months.
As the world economic recovery takes hold, the country’s exports and private investment will continue with steady growth, according to the report.
China may see a mild inflation increase, as CASS expects China’s consumer price index, a main gauge of consumer inflation, to rise by 1.7 percent and 1.5 percent in the fourth quarter and for the whole year, respectively.
The think tank predicts economic growth of 6.7 percent for the fourth quarter and 6.8 percent for 2017.
At a press conference on Tuesday, Ning Jizhe, head of the National Bureau of Statistics, struck a confident tone on the country’s economy, saying that China is sure to achieve its 6.5-percent annual economic growth target.