The World Banks forecasts GDP in China, Australia’s biggest export market, to stay flat in 2014 at 7.7 per cent.
After that growth will moderate to 7.5 per cent for the following two years.
In latest Global Economic Prospects report, the World Bank says the slowing refelects deleveraging and less reliance on policy-induced investment.
The World Bank says:
“The region is vulnerable to risks of disorderly unwinding in Chinese investment and abrupt tightening in global financing conditions. Commodity exporters are also vulnerable to sharper than expected declines in commodity prices.”