Kristalina Georgieva, managing director of the International Monetary Fund, at a press conference at the IMF Headquarters on April 14, 2023.
The head of the International Monetary Fund warned Monday that China needs structural reforms in order to avoid "a fairly significant decline in growth rates."
Speaking to CNBC at the World Economic Forum in Davos, Switzerland, Kristalina Georgieva said China was facing both short-term and long-term challenges.
In the short-term, she said China's property sector still needed "fixing," along with a high level of local government debt.
"Ultimately, what China needs are structural reforms to continue to open up the economy, to balance the growth model more towards domestic consumption, meaning create more confidence in people, so [they] don't save, they spend more," Georgieva said.
Persons:
Kristalina Georgieva, Georgieva
Organizations:
International Monetary Fund, IMF, CNBC, Economic
Locations:
China, Davos, Switzerland