Goldman Sachs Cuts China Growth Forecast

Goldman Sachs analysts have cut forecasts for China's economic growth, citing persistently weak confidence and the cloud over the property market as stronger-than-expected headwinds, Tom Westbrook reported for Reuters.

Photo Insert: Goldman Sachs also lowered China's 2024 growth forecast from 4.6% to 4.5%.

The US investment bank lowered its full-year real gross domestic product (GDP) growth forecast for the world's second-biggest economy from 6% to 5.4%, according to a note published recently.

It also lowered its 2024 growth forecast from 4.6% to 4.5%. The bank had also lately, like others, cut its outlook for China's currency, the Associated Press (AP) also reported.

"No reopening boosts have faded as quickly as in China," said the analysts, headed by economist Hui Shan, citing the property downturn and its flow-on effects as the main reason.

"We judge that growth headwinds are likely persistent while policymakers are constrained by economic and political considerations in delivering meaningful stimulus."

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