The impact of easing credit conditions and public investment in infrastructure is beginning to show, the bank said in its report.
The impact is expected to continue to be felt into 2013, as the authorities have accelerated the approval of large projects.
There have been signs of a pick-up in Chinas manufacturing and export sector
Bright spot
The bank also raised its forecast for the developing East Asia region, excluding China.
The grouping, which includes Thailand, Philippines, Indonesia and Burma, is now projected to grow 5.7% in 2013, up from the previous forecast of 5.5%.
The bank said that the region was likely to benefit from Thailands recovery from last years floods and strong growth in the Philippines.
The Philippines economy has been one of the better performing ones in the region this year.
Its growth has been helped by a strong domestic demand, government spending and increased investment in the country.
The bank raised its projection for the Philippines to 6.2% for 2013 from 5%.
It added that the opening up of Burma and the continuing reforms in the country, which have seen various sanctions against it being lifted, was another bright spot in the region.
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