International Monetary Fund urges China to speed reforms as growth forecast lifted
IMF calls for structural shifts in Chinese economy
The IMF raised China’s 2025 growth estimate to 5.0% from 4.8%, while nudging 2026’s projection up to 4.5%. But it cautioned the country must shift away from export- and investment-driven growth to a model led by domestic consumption. Structural reforms, boosts in social protection, and a healthy real estate sector are key, the fund said.
Economic strength amid growing concerns
China’s resilience comes despite global headwinds, but its current growth model — reliant on huge trade surpluses and heavy investment — may stoke trade tensions and distort international markets. The IMF warning comes as many emerging economies claim to be flooded with inexpensive Chinese exports, threatening local industries. The call for reforms signals a push for sustainable growth and economic rebalancing.
