A unique view on the Chinese economy from a World Bank economist and Chinese advisor:

Former World Bank chief economist and senior adviser to the Chinese government Justin Lin has criticised widespread pessimism among economists and investors about the outlook for the world’s second-largest economy and predicted it would grow between 7.5 per cent and 8 per cent for the next 20 years. China’s recently-installed premier, Li Keqiang, has emphasised the government’s commitment to maintaining “economic stability” and relatively high growth rates.

Mr Lin said his prediction was partly predicated on Beijing continuing to implement market-oriented reforms and taking counter-cyclical measures to stabilise growth when it slows. He said China still has the “advantage of backwardness” and the potential for technological catch-up when compared with advanced economies. He pointed out that China’s per capita income was just 21 per cent of the US in 2008 in purchasing power terms – a comparable level to Japan’s in 1951, Singapore’s in 1967 and South Korea’s in 1977.

Last week Beijing announced a “mini-stimulus” involving tax cuts for small companies, more investment in the country’s enormous railway system and a support package to boost trade. Officials have said the government will reveal a plan next year to tackle air and water pollution involving Rmb3.7tn ($603bn) of government investment, a plan Mr Lin said would help to boost growth.

Read the full article from the FT here.