China Economic Panel (CEP) by ZEW and Fudan University (Shanghai) - China’s Growth Prospects Stabilise Further

The overall macroeconomic outlook for China remains almost unchanged according to the new results of the China Economic Panel (CEP). The CEP Indicator slightly decreased by 2.3 points in the current survey period (July 16 to July 31, 2014). Standing at a level of 19.1 points, the indicator continues to reflect moderate optimism among financial experts regarding the economic development in the world’s second-largest economy over the course of the next twelve months.

The current survey also revealed increasing optimism about exports and employment in China. Against the background of strong improvements in economic expectations last month, these are further indications that China’s economy is to grow faster than earlier this year. After 7.4 per cent in the first quarter, year-on-year GDP growth was 7.5 per cent in the second quarter 2014.

The current economic situation in China is assessed slightly positive although the respective subindicator decreased by almost 11 points compared to last month. Similar to previous months, economic expectations continue to be markedly more positive than analysts’ evaluations of the current business cycle situation.

For further information please contact

Dr. Oliver Lerbs, Phone +49 (0)621/1235-147, E-mail lerbs@zew.de

Prof. Dr. Michael Schröder, Phone +49 (0)621/1235-140, E-mail schroeder@zew.de