The real domestic economic growth rate in 2008 will be 4.8% compared with the previous year which is 0.2% point higher than it is expected in 2007. The increase of it is owing to a continuous increase in export and a recovery of domestic demands such as private consumption and investment in constructions.

The growth rate of private consumption will rise within narrow limit from 4.2% in 2007 to 4.3% 2008 due to the gains in stock market and an enlargement in employment in service industry. Investment in construction is rising from 2.2% to 2.8% because of increasing government’s role in some construction areas such as development of corporate town and new city. On the other hand, the growth rate of investment in equipment is expected to decrease slightly from 8.7% in 2007 to 7.5% in 2008. Export is expected to show increase to 11% based on the expansion of export to developing countries and Beijing Olympic Games.

GDP growth rate in 2008 is expected to reach 6.6% which is barely 0.4% point higher than that of 2007 estimated by NABO. This is estimated under condition that the real economic growth rate will increase from 4.6% in 2007 to 4.8% in 2008 and an GDP deflator will rise from 1.5% in 2007 to 1.8% in next year.