China has been experiencing rapid economic growth for years and is expected to reach another milestone this year. Bloomberg predicts the country’s economy will exceed that of the Euro Zone before the end of 2018.
The “Asian Century”
The milestone China will reach this year is yet another indicator that the so-called “Asian Century” is upon us. By the close of 2018, the Chinese economy will have overtaken that of the entire European Union.
China’s GDP will reach approximately $13.2 trillion this year, said Bloomberg. This will easily surpass the forecasted combined total gross domestic product of the 19 countries taking part in the European Union and using the Euro currency. Last year, the E.U. still managed to edge ahead of China, though this was by only $200 billion.
Asian Economic Growth
Many countries in Asia are seeing considerable economic growth. A number of powerhouses are quickly rising in the continent, including Japan and India. That said, some emerging countries are taking off at even faster rates, as is the case with Indonesia and the Philippines.
Their economies have already gone well beyond the North and South American growth rates, according to Bloomberg. Asia has easily achieved the fastest economic growth rate in the world.
The National People’s Congress has brought leaders throughout China together in Beijing where a central focus was to maintain stable economic growth. President Xi Jinping, who recently removed the limit to the number of terms for which he can rule, made healthy economic growth a central focus for the country’s leaders.
China is currently the second largest economy. Though its economy has experienced wild growth over several years, that rate is gradually slowing. The hope is to achieve healthy stability over sharp increases.
The president hopes to accomplish this goal by looking to make its way out of an economy of low wages and high exports. Instead, it wants to move into a broader and more balanced mix where there will be improved domestic spending. That said, there are many challenges the country will be required to overcome before that goal can be achieved.
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