ADB raises China growth forecast to 8.2 %

The Asian Development Bank has raised its China economic growth forecast by 1.2 percentage points to 8.2%, state media said, citing a report published by the Manila-based organization. The upward revision was driven by a surge in bank lending and fixed-asset investment, the report said. It added that Beijing ‘s continued fiscal stimulus and a moderate recovery in the international economy next year would raise China’s growth rate to 8.9% in 2010. However, the report noted that concerns remain over the high level of bank lending so far this year, which could trigger another round of monetary tightening, disrupting growth.