Washington, 13 October 2026 – The International Monetary Fund has lowered its projection for China’s economic growth in 2026 to 4.5% from 4.6%, warning that strong exports are no longer sufficient to offset weak domestic demand and continued stress in the property sector. The revision is small, but the reasoning matters for investors because it points to a more difficult growth mix rather than a sudden collapse in activity.
The new estimate sits at the lower end of Beijing’s annual target and reflects the IMF’s latest global outlook. The organisation said sluggish household consumption and weaker investment amid persistent property strains were only partly balanced by resilient exports. Higher oil prices, prolonged uncertainty and structural headwinds are expected to weigh on activity, while policy support should help prevent a sharper slowdown.
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