I posted an update on China’s growth outlook a few days ago and said ” … China’s improving PMI seems to indicate that the country might have seen the worst of the growth statistics”. I also referred to a report by BCA Research, stating that “a broad range of macro indicators suggest that the economy may have begun to rebound”.

Interestingly, a “flash” report (hat tip: Fullermoney) by Helen Qiao and Yu Song of Goldman Sachs’s Asian team has just been published in which they have significantly raised their real GDP growth forecasts for China for 2009 and 2010.

Goldman’s new forecasts predict real GDP growth of 8.3% in 2009 (versus 6.0% previously) and, more importantly, that it will reach 10.9% in 2010 (up from 9.0%). These figures are significantly above consensus.

According to the team, the