ANZ and HSBC Enhance China’s GDP Growth Forecast to 4.8% for 2025
ANZ and HSBC have improved their forecasts for China’s GDP growth in 2025 to 4.8%, driven by positive economic data. Industrial production rose 5.9%, while retail sales and fixed asset investment also showed strong performance. HSBC also revised its 2026 forecast, indicating a similar upward trend in economic growth expectations.
On Monday, ANZ updated its 2025 economic growth forecast for China, raising it to 4.8% from a previous prediction of 4.3%. Additionally, for 2026, the forecast increased to 4.5%, up from 4.0%. This revision follows positive economic data reported for the initial months of the year, indicating a favorable trend.
In January-February 2025, mainland China experienced a 5.9% year-on-year growth in industrial production. Retail sales and fixed asset investment also exceeded last year’s average performance, signaling stronger-than-anticipated expansion in both sectors. Such developments underscore the positive economic momentum.
China’s initiatives to enhance domestic demand, highlighted by the introduction of the “Special Action Plan,” are projected to further stimulate growth. Correspondingly, HSBC similarly adjusted its 2025 GDP growth forecast for China to 4.8%, an increase from 4.5%. Furthermore, HSBC revised its 2026 forecast upward to 4.5% from 4.4%.
The revisions by ANZ and HSBC reflect growing optimism regarding China’s economic recovery, driven by solid industrial production and retail sales data. The efforts to enhance domestic demand are expected to support continued growth in the coming years, with both banks projecting a robust trajectory for GDP as the nation navigates through the ongoing economic landscape.
Original Source: www.tradingview.com
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