(Yicai Global) May 12 -- The United Nations Department of Economic and Social Affairs has raised its forecast for China’s economic growth this year to 8.2 percent from a 7.2 percent prediction made in January, citing a solid recovery in manufacturing, infrastructure investment and exports.

Consumer spending is also expected to improve, but at a more moderate pace, the UN body said in the mid-year update of its World Economic Situation and Prospects 2021 published yesterday.

Given increasing concerns over rising financial leverage and possible bankruptcies, stimulus spending is likely to be more targeted going forward, it added.

The global growth outlook for 2021 has improved to 5.4 percent from 4.7 percent in January, led by a robust rebound in China and the United States, the report said. The UN DESA left its projection for China next year unchanged at 5.8 percent.

However, surging Covid-19 infections and inadequate vaccination progress in many countries could undermine a broad-based recovery in the world economy, the report warned.

Editor: Tom Litting