According to economists, China is unlikely to recover from economic stagnation. Against this backdrop, many analysts are revising their forecasts downwards. By the end of this year, China is highly likely to show a slowdown in economic growth. Apparently, China is not coping with economic problems, intensifying fears about a downturn in the world's second-largest economy. The majority of analysts in the Bloomberg poll were confident that by the end of 2023, the growth rate of the Chinese economy would slow down to 5% against the expected 5.1% due to the crippling real estate sector and the build-up of debts in the corporate sector. Moreover, China's central bank failed to support the national economy by introducing stimulus measures. All of these factors could weigh on the economy. At the same time, the Chinese government may reach its GDP growth target in the second half of 2023, analysts concluded. Notably, a slowdown in exports decline, a gradual recovery in manufacturing activity, and stable demand for mortgage loans are likely to support the economy. Meanwhile, the majority of those surveyed agreed that further growth rates of the Chinese economy would largely depend on the real estate market. They called the ongoing debt crisis in this sector the acutest headache for China. Against this background, Li Daokui, a former adviser to the People's Bank of China, said that the recovery of the real estate market may take up to one year.
