China's growth rate slows: World Bank

25/11/2008 22:56:13

The World Bank says China will play an important role in cushioning the the effects of the world recession.

In its latest quarterly report, the bank has cut its growth forecast for China for next year from 9 per cent to 7.5 per cent.

The bank says exports will fall significantly, but the economy will benefit from the government's stimulus package of almost US$600 billion .

The bank's country director, David Dollar, says while important, China's ability to support world growth needs to be kept in perspective.

"China's not not going to rescue the world economy," he said.

"It's not important enough in final demand in the world to replace the United States and Europe and Japan, which are all going into recession.

"But for China to keep up a healthy growth rate is a very useful contribution because it keeps things from getting worse than they would be elsewhere."

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