BEIJING (Reuters) – Citi analysts cut forecasts for China’s 2023 economic growth, saying the world’s second-biggest economy is on the brink of a “confidence trap” as the initial COVID-19 reopening impulse starts to fade.
The U.S. investment bank trimmed China’s full-year gross domestic product growth forecast to 5.5% from 6.1% previously, according to a note published on Tuesday.
To shore up the slowing recovery, China on Tuesday cut its key lending benchmarks, the first such reductions in 10 months.
(Reporting by Ellen Zhang and Kevin Yao; Editing by Muralikumar Anantharaman)
