THE World Bank has raised its economic growth forecast for developing East Asia and the Pacific for this year and 2018.
The bank now expects the developing East Asia and Pacific region, which includes China, to grow 6.4 per cent in 2017 and 6.2 per cent in 2018, reports Hong Kong's South China Morning Post.
Its previous forecast in April was for 6.2 per cent growth in 2017 and 6.1 per cent growth in 2018.
Excluding developed economies such as Japan and South Korea, the higher rate is led by China, whose growth projection was revised up 0.2 point to 6.7 per cent, the bank said in its latest East Asia and Pacific Economic Update.
"The economic outlook for the region remains positive and will benefit from an improved external environment as well as strong domestic demand," the World Bank said in its report.
Yet region faces risks from rising trade protectionism and economic nationalism, which could dampen global trade, as well as the possible escalation of geopolitical tensions in the region, the bank said.
The World Bank said it now expects China's economy to grow 6.7 per cent in 2017 and 6.4 per cent in 2018. Its previous forecasts were for China to grow 6.5 per cent in 2017 and 6.3 per cent next year.
China's economic growth is projected to moderate in 2018-19 as the economy rebalances away from investment and external demand towards domestic consumption, the bank said.
The World Bank cut growth forecasts for several countries in Southeast Asia including Myanmar and the Philippines, while raising forecasts for Malaysia and Thailand.