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| David Lipton First MD, IMF |
Washington/Beijing: The International Monetary Fund (IMF) has said that China's growth is expected to slow to around 8% this year from 9.2% last year as global demand is slowing.
The Chinese renminbi was now no longer "substantially undervalued" but rather "moderately undervalued," according to preliminary analysis by IMF economists.
“Reflecting the withdrawal of policy stimulus last year and slowing global demand, growth will likely moderate to around 8 percent this year in China,” said David Lipton, First Managing Director of IMF.
He said that IMF supports the authorities' ongoing effort to promote higher quality growth while at the same time fine-tuning macroeconomic policies to help ensure that growth does not slow too much.
According to Lipton, IMF is also pleased to see that inflation, which was a major social concern last year, has peaked and, barring further shocks to food supply or global commodities, is expected to remain below 4 percent.