International banks raise China GDP forecasts on strong economic data

China’s economy grew by 5.3% in the first half of 2025, surpassing expectations and prompting major international banks to raise their full-year growth forecasts. Key drivers included a 6.4% rise in industrial output, a 9.5% boost in high-tech manufacturing, a 5% increase in retail sales, and 7.2% export growth. Banks like Morgan Stanley, UBS, Goldman Sachs, and ANZ upgraded their projections, citing strong exports, fiscal support, and improving corporate earnings. Investor confidence has also improved, with firms like Citigroup and Invesco expressing optimism, especially toward China’s tech sector. However, some analysts caution that export growth may slow in the coming months.

Credit: CGTN