Tokyo Based Koyal Group is forecasting strong growth in the British economy due to international factors.
Jul. 16, 2013 - TOKYO, Japan -- Senior Vice President of Mergers and Acquisitions at Koyal Group, Mr. Peter Keller, expects the British Economy will grow by 1.2% this year and increase to 2.3% next year, eventually plateauing at 2.6 percent. "The recovery has a much stronger and extensive base than it did in 2011, although it is difficult at this time to comment on the future of the housing market and future consumer spending. I believe that government stimulus packages to the housing market will begin to have a positive effect. So consumer mentality should shift from savings to spending." said Mr. Keller.
Other important factors to the recovery of the British economy are the economic recovery in the US and China. American stock futures have gained huge amounts of ground over the past few weeks, finishing at highs not seen since the beginning of the year, and China is shifting its economy away from being construction and manufacturing based and moving towards consumer spending. This should help the UK in two ways; there should be a larger demand for British products in China and there should also be less competition from China on imported raw materials used in the construction industry.
"We were all very relieved to see that China has hit 7.5 percent growth in GDP as its government and market analysts predicted. Over the last thirty years China´s GDP has grown on average 10%, this slowdown of the emerging economy was inevitable. We were just glad to see that it has not slowed down more," commented Mr Nathan Andrews, Head of Investment Analysis.