IMF projections: Chinese economy in 2027 will be 93 percent of the US

The IMF’s World Economic Outlook says central banks should ignore the demand for a pivot and instead focus on getting inflation under control

The Chinese economy was 61 percent of the US economy in 2015 but is expected to be 81 percent of the US economy this year (Image: Reuters)

Highlights China is already the biggest economy in purchasing power parity terms and it is increasing its lead from the US In current dollars too the Chinese economy is rapidly catching up with the US  This has immense geopolitical implications That is why the US is desperate to contain the rise of China Chinese growth will continue to be investment-led US growth will falter due to the Fed’s monetary tightening While over-tightening could lead to a recession, the IMF says central banks should not pivot and…

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