FRR 2016 ANNUAL REPORT08
In emerging countries, China s growth faded a little but remains above 6.5% (+6.7% in 2016 after 6.9% in 2015). The world s second biggest economy is facing a number of structural chal- lenges: transforming its investment- and export-driven economy into one fuelled by con-
sumer spending and services (taking its indus- trial base upmarket); production overcapacity; high corporate debt, and a property market showing signs of overheating.
Annual GDP growth in 2015 and 2016
China: annual change in foreign exchange reserves (USD billion)
-4%
-2%
0%
2%
4%
6%
8%
2015 2016
U ni
te d
S ta
te s
E ur
oz on
e
Ja pa
n
U ni
te d
K in
gd om
C hi
na
B ra
zi l
R us
si a
In di
a
-600
-500
-400
-300
-200
-100
0
100
200
300
400
500
600
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
Source: Bloomberg.
Source: Bloomberg.