No need to exaggerate economic headwinds

The Economist Intelligence Unit claimed China was set for a hard landing in its latest global risk analysis report. Closer inspection of the Chinese economy shows that to be a false alarm.

The forecasting and advisory services provider issued a report on Thursday in which it forecast the top risk for the global economy was a sharp economic slowdown in China, due to what it saw as the country's febrile manufacturing sector, rising debt and growing downward pressure on the renminbi due to capital flight.

The think tank is right that the Chinese economy is experiencing headwinds, but this is hardly breaking news. The country's leadership has spoken at length about the challenges brought by the new normal growth rate and structural reform.