World Bank raises China growth forecast to 9.5 pct

BEIJING

The World Bank raised its China growth forecast for 2010 to 9.5 percent from 9 percent but says Beijing needs to cool inflation and possible bubbles in real estate prices.

World Bank economist Louis Kuijs said Wednesday that China's economic policy "needs to be tighter than it was in 2009" to counter rising prices.

The bank in a quarterly report on China still gave an upbeat overall outlook for 2010.

It says trade and household consumption should grow strongly even as Beijing's massive stimulus spending winds down.