The Asian Development Bank (ADB) reported that despite its economic slowdown, China remains the biggest driving force for world economic growth. The Asian Bank estimates that China’s economic growth this year will be 4.8%, which will be more than 40% of the economic growth of developing Asian countries.
US financial news network CNBC reported that ADB Chief Economist Albert Park said at the ADB “Asian Development Outlook” report conference: “Clearly China will remain important in the future. It will remain important. It still accounts for about half of Asia. “Captures the gross domestic product (GDP) of the Pacific region.”
“Although growth is declining, and we expect it will continue to decline in the coming years, it (China) remains the largest contributor to global growth of any economy in the world,” Parker said.
The Asian Bank estimates China’s GDP growth in 2024 will be 4.8%, slightly below Beijing’s official target of 5%; China’s economic growth last year was 5.2%, meeting the official target of the “Guarantee Five” .
ADB data also estimates that even if growth slows, China will still account for 46% of the economic growth of developing Asian countries in 2024-2025.
Calculated on the basis of purchasing power parity (PPP), China currently accounts for 18% and 48% of global and Asian GDP respectively. Purchasing power parity is calculated based on different price levels in different countries .currencyThe cross-equivalence coefficient can make a more fair comparison of the GDP of different countries in economics, and is used by the Asian Bank, the World Bank (WB), and the International Monetary Fund (IMF).
As far as countries considered by the West in recent years to be capable of replacing China as a manufacturing power,IndiaThere has been rapid growth over the past six quarters, with growth at 8.4% in the fourth quarter of fiscal year 2023-24, exceeding expectations.
“India’s importance in regional development continues to grow,” Parker told CNBC. Asian Bank estimates that India will rank first in Asia-Pacific with growth of 7% and 7.2% in 2024 and 2025 respectively.
However, Parker also said that although India is undoubtedly a bright spot, it still lags behind China. In terms of purchasing power parity, China’s economic size is still 2.5 times that of India. “Based on this, I think it will take a long time for India to achieve global growth.”
There is a possibility of a decline in the growth of developed economies this year. The Asian Bank estimates that US growth will slow to 1.9% in 2024 from 2.5% last year;JapanIt will decline from 1.9% last year to 0.6% this year.
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