The Bank of China, one of the big four state-owned commercial banks in China, has published its forecasts for the macroeconomic and financial situation of China in the second quarter of the current year. The bank's report states that, because of the improved external environment and the regulation and control of the Chinese government, China will see a slight increase in economic growth in the second quarter. The report forecasts a growth of 8.4 percent in gross domestic product (GDP) in Q2 from 8.2 percent in Q1, down 1.1 percentage points year on year, while China's consumer price index (CPI) is forecast to grow by three percent in Q2.
An analyst at the bank indicated that the likelihood of a ‘hard landing' of the Chinese economy is very small.