BEIJING (Sputnik) – China’s gross domestic product (GDP) growth is expected to decelerate to 6-6.5 percent this year from 6.6 percent in 2018, according to the country’s social and economic development plan released on Tuesday.
“China’s GDP will grow by about 6-6.5 percent,” the report of the National Development and Reform Commission, published before the opening of the annual meeting of the National People’s Congress, says.
China’s GDP growth slowed down to 6.6 percent last year, the slowest pace since 1990, but it fit within the official forecast. At the same time, the country’s GDP growth slowed throughout the year from 6.8 percent year-on-year in the first quarter to 6.4 percent in the fourth.
According to the plan, Chinese inflation will accelerate to about 3 percent this year from 2.1 percent in 2018.
“The consumer price index (CPI) will be 3 percent in 2019, generally in line with last year’s expectations,” the report says.
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The deficit of China’s state budget will be 2.76 trillion yuan (about $411.5 billion), or about 2.8 percent of the country’s gross domestic product (GDP), according to the draft budget.
“The budget deficit-to-GDP ratio is expected to be 2.8 percent, up 0.2 percentage points from 2018. The deficit will be 2.76 trillion yuan,” the document says.
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Chinese authorities planned the 2018 budget with a deficit of 2.38 trillion yuan or about 2.6 percent of GDP.