US investment bank Goldman Sachs upgraded its forecast for China's GDP growth in 2003 to 8.7 percent, just two months after the bank revised its growth forecast from 7 percent to 8.1 percent.
The bank estimates the country's economy will grow as much as 9.5 percent in 2004, the highest rate in years.
Statistics show that retail sales rose in October at their fastest pace in two years, a sign of strong consumer demand.
Chinese consumers purchased RMB 420 billion (US$50.74 billion) worth of merchandise, up 10.2 percent from October 2002.