Fitch affirms China A+ ranking however lowers its outlook to destructive

Fitch revises outlook on China to destructive; affirms at ‘A+’

  • Outlook revision
    displays rising dangers to China’s public finance outlook
  • Forecast common
    authorities deficit in China to rise to 7.1% of gdp in 2024
  • Believes that fiscal
    coverage is more and more prone to play an vital function in supporting
    progress in coming years
  • 2024 deficit can be
    highest since 8.6% of GDP deficit in 2020
  • The 2024 deficit
    would be the highest because the 8.6% of GDP deficit in 2020
  • Forecasts GDP progress
    to reasonable to 4.5% in 2024, from 5.2% in 2023
  • Don’t forecast a
    extended interval of deflation, with inflation of 0.7% by end-2024 and
    1.3% by end-2025

This text was written by Eamonn Sheridan at