"Year-ended growth in production and nominal retail sales accelerated, and fixed investment has remained robust due to stimulus investment and an improvement in the real estate sector," points the bank. The Chinese exports have risen 11.6% in October, the second highest figure in the last 6 months. The industrial production climbed 10.1% in November, The inflation remains at 2.0% and the retail sales jumped 14.9%.
As for the year to come, the NAB team expects "overall growth for 2012 to be around 7.7%. Growth will then pick up to around 8% next year as the impact of stimulus measures shows up in the real economy and the global economic environment starts to stabilize."
However, the China’s potential growth rate will "continue to ease in subsequent years as the numerous imbalances that have become apparent in the economy start to be unwound."
On the currencies field, the Yuan won't rises significantly in the year to come. While NAB expects the USD/CNY to close 2012 at 6.3%, the bank sees a slight decline to 6.2 in 2013.