Pedestrians check out the splendid urban scenery on the North Bund of Shanghai on November 13, 2025. Photo: VCG

The World Bank on Thursday released its latest China Economic Update in Beijing, raising its 2025 economic growth forecast for the world's second-largest economy by 0.4 percentage points to 4.9 percent. It is the latest global institution to lift its China GDP forecast.

The World Bank said that accommodative fiscal and monetary policies supported domestic consumption and investment. Simultaneously, demand from developing countries sustained exports, according to the information it shared on its official website. 

"China's growth in the coming years will depend more on domestic demand," said Mara Warwick, World Bank division director for China, Mongolia and Korea. "In addition to short-term fiscal stimulus, advancing structural reforms of the social protection system and creating a more predictable environment for businesses can help boost confidence and lay the groundwork for resilient, sustainable growth."

The lift is followed by other international organizations and foreign financial institutions who have successively upgraded China GDP forecasts, underlining increasing confidence in the world's second-largest economy.

The International Monetary Fund on Wednesday released its latest World Economic Outlook report in Beijing, upgrading China's economy to 5.0 percent in 2025 and 4.5 percent in 2026. These projections reflect an upward revision of 0.2 and 0.3 percentage points respectively, compared to its forecast made in October, which the organization said is driven by the country's welcome macroeconomic policy stimulus measures and lower-than-expected tariffs on China's exports.

The Asian Development Bank on Wednesday raised its 2025 economic growth forecast for China by 0.1 percentage points, citing resilient exports and continued fiscal stimulus in the world's second-largest economy, the Xinhua News Agency reported.

Earlier on December 2, the Organization for Economic Cooperation and Development raised China's GDP forecast for 2025 to 5 percent, up by 0.1 percentage point compared with its previous projection in September.

Global Times