China's economy is accelerating again and inflation will tick up by the second half of the year after bottoming out in February, according to David Carbon, Managing Director of Economics and Currencies at DBS Bank.
"We look at the numbers and China gave us a touch and go three, four months ago, so it's no longer a question of hard or soft landing," Carbon told CNBC on Monday. "China has already taken off again, as has most of Asia."
Gross domestic product (GDP) figures to be released Friday may indicate that the economy is expanding faster than the official target of 7.5 percent for 2012, Carbon added. "We look at the broad body of data including GDP, which will be out at the end of this week. China is already re-accelerating again."
The latest data on inflation and bank lending also reflect a strengthening Chinese economy. Inflationin China came in at a higher than expected 3.6 percent in March, according to government data Monday, after hitting 3.3 percent in February. China's big four state banks extended almost 300 billion yuan ($47.50 billion) in new local-currency loans in March, the official Securities Times reported on Saturday, citing unidentified sources.Page 1 of 3 | Next Page