China will see 8% GDP growth in 2009, says Mobius

Franklin Templeton's executive chairman and manager of the Templeton Emerging Markets Investment Trust says moves by the Chinese government to boost domestic consumption, including tax incentives and subsidies on certain goods will drive China's GDP growth to 8% this year. The stimulus package announced in November included transport infrastructure, rural electricity and gas facilities, low-rent housing, agricultural subsidies and minimum income support. Mobius says the renminbi is currently undervalued on a price parity basis, which applies pressure for it to strengthen against the US d...