WB cuts China, Indonesia 2013 growth forecasts

The World Bank on Monday slightly scaled back its 2013 growth forecasts for developing East Asia, warning that possible over-heating in the region's larger economies could stoke inflation and asset bubbles.

In its latest East Asia and Pacific Update, the World Bank cuts its GDP growth forecast for China by 0.1 percent to 8.3 percent, citing China's ongoing efforts to restructure its economy.

It also lowered its projection for Indonesia to 6.2 percent from 6.3 percent, due to an expected moderation in investment growth.

Meanwhile, the World Bank raised its growth outlook for Thailand and Malaysia, and expects the overall developing East Asia to grow by 7.8 percent this year. That is lower than its estimate of 7.9 percent in December, but faster than last year's 7.5 percent.