World Bank boosts China GDP forecast

The World Bank revised its 2006 forecasts of China's economic growth to 9.5% from a previous estimate of 9.2% in its latest quarterly economic update released Wednesday. The bank said its forecast still implied a slowdown in the rest of the year and into 2007, and expected the recent "moderate" tightening of lending to cool the overheated investment rate. The bank joined the calls for China to move faster on currency appreciation as a way of cutting its large trade surplus to limit renewed liquidity build-up from foreign exchange inflows.