UBS cuts China 2011, 2012 GDP forecasts amid global slowdown

Markets Reuters

SINGAPORE (Reuters) - UBS lowered its 2011 and 2012 growth forecasts for China on Thursday, saying much weaker growth prospects in developed economies would crimp export growth.

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UBS said it now expects 2011 gross domestic product growth of 9 percent, down from its earlier projection of 9.3 percent. For 2012, it sees GDP growth of 8.3 percent, down from its previous forecast for 9 percent.

"A significant drop in export growth, which could start in Q4 2011, is also expected to affect manufacturing investment and consumption," UBS wrote in a note to clients.

(Reporting by Emily Kaiser)

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