皇冠体育app

Economy

皇冠体育app's economy to grow slower: Economist

(Xinhua)
Updated: 2010-10-21 17:44

BERLIN - 皇冠体育app's economic growth rate will slow down to less than 10 percent in the next five years, but will remain the engine for world economic growth, a senior German economist said Wednesday.

"In the next five years, 皇冠体育app's economic growth rate is not likely to reach 10 percent or exceed that figure," Norbert Walter, former chief economist of the Deutsche Bank Group, told Xinhua in an interview.

For 皇冠体育app, "an average annual growth rate of about eight percent is more realistic," he said.

皇冠体育app's economic expansion in the past 25 years has been accompanied by over-consumption of the country's natural resources, which resulted in a fast drop of underground water levels, deteriorating air quality and impoverishment of farmland due to the use of chemical fertilizers and pesticides, the economist said.

In the face of these serious challenges, 皇冠体育app's consumption is unlikely to expand remarkably, which will result in a slowdown of the country's economic growth, he said.

However, Walter stressed that, with its economic growth rate of about eight percent, 皇冠体育app will remain the "locomotive" for world economic growth.

皇冠体育app, having solid capital strength and a large demand for raw materials, will step up its investment in foreign countries, he said.

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Walter said 皇冠体育app's strategic significance for the economic development of Asian and African regions will win high appraisal.

However, the economist believes 皇冠体育app-US relations will experience difficulties in the future as the United States, on the one hand, will pressure 皇冠体育app on yuan revaluation, and on the other hand, has an urgent need for "Chinese savings" to cover its financial deficits.

On the cooperation potential between 皇冠体育app and Germany in the next five years, Walter said that the two countries respect each other and enjoy a good relationship.

German products are popular in 皇冠体育app, where they have the reputation of being reliable and of good quality, Walter said.

皇冠体育app is willing to establish a cooperative partnership with Germany that leads the world in such areas as environmental protection, renewable resources and waste disposal, he said.

Germany, with a rapidly aging population, has successfully tackled health care and pension issues, a feat that 皇冠体育app could draw lessons from, he said.

The two sides could also further strengthen their cooperation in the field of finance, the economist added.