China growth lags Asia-Pacific for first time in decades as World Bank cuts outlook

The World Bank downgraded its annual growth outlook for the Asia-Pacific from 5% to 3.2%, largely due to a slowdown in China. Photograph: AFP/Getty Images

Covid-zero policies and the housing market crisis have put China’s economic growth behind the rest of the Asia-Pacific region for the first time in more than 30 years, according to World Bank forecasts.

In a biannual report released on Tuesday, the US-based institution said the annual growth outlook for East Asia and the Pacific region had been downgraded from 5% to 3.2%. However much of that decline was down to economic woes in China, which constitutes 86% of the region’s economic output.