IMF Cuts China's 2012 Growth Rate
Created: 2012-07-16 14:14 EST
The International Monetary Fund cut the growth forecast for China’s economy on Monday along with the global growth forecast, providing a bleak outlook for Eurozone legislators.
The growth rate for 2012 was reduced from 8.2% to 8%. The IMF said in its latest report that,“There are tail risks of a hard landing in China, where investment spending could slow more sharply, given overcapacity in a number of sectors."
The Eurozone is largely dependent on China having a strong economic climate for any potential recovery of its own economic crisis. The IMF cuts come one day after Premier Wen Jiabao warned that a China economic recovery was not stable.