The Organization for Economic Cooperation and Development raised its forecast for China’s economic growth and said stimulus measures may spark the biggest boom in urban investment since the early 1990s.
China’s economy will grow 7.7 percent from a year earlier, up from a 6.3 percent forecast in March, the Paris-based group said in a report today. Gross domestic product will climb 9.3 percent next year, up from an 8.5 percent estimate, it said.
The World Bank, Barclays Capital and Standard Chartered Bank raised their estimates for China’s growth in the past week after record lending fueled a surge in investment. The central bank’s Vice Governor Su Ning said yesterday that the world’s third-biggest economy is showing positive signs and the government is staying confident.