The IMF upgraded China’s growth forecasts for 2025 and 2026, citing domestic stimulus and lower-than-expected tariffs. The fund projects China’s economy to expand 5% in 2025, up 0.2 percentage points from October, and 4.5% in 2026, up 0.3 percentage points. IMF Managing Director Kristalina Georgieva emphasized China must accelerate its transition from export-led to consumption-driven growth. She warned that heavy reliance on exports risks further global trade tensions with the U.S., Europe, and Mexico. The upgrade follows the IMF’s annual Article IV consultations with Chinese officials. The IMF expects China’s inflation to rise to 0.8% in 2026 from near-zero this year.