WB: China's economic growth remains respectable

The World Bank released its new China Quarterly Update on Thursday. The report says the country's fiscal and monetary policies have kept the economy growing at a respectable pace.

The World Bank released its new China Quarterly Update on Thursday. The report says the country's fiscal and monetary policies have kept the economy growing at a respectable pace.

The World Bank raised its prediction of China's GDP growth rate for this year from 6.5 percent to 7.2 percent. The main reason is because China's stimulus plans and their impacts were larger than expected. The bank described China's growth as respectable, but says its too early to say a robust sustained recovery is on the way.

Louis Kuijs, Senior Economist World Bank, said, "China's economy is unlikely to rebound to very high single digit rates before the world economy recovers convincingly..."

The update says that global growth prospects are still slight even though there have been recent signs of stabilization. And there are limits on how much and how long China's performance can outpace global trends since it is primarily boosted by government investments.