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CPI projected to rise 2.3% in 2007
Updat:Apr 1, 2007   Author:lj   Click:[]

www.chinaview.cn2007-03-30 14:19:04

BEIJING, March 30 (Xinhua) -- China's consumer price index (CPI) is expected to climb 2.3 percent year-on-year this year, according to a report by the central bank's report. The index, a major gauge of inflation, is projected to rise 2.35 percent, 2.25 percent, 2.50 percent and 1.90 percent in the four quarters of the year, said a report from the Research Bureau of the People's Bank of China. The report said factors including rising crude oil and metal prices, small grain price hikes, and deepening pricing system reforms of resources such as water, coal and electricity are expected to drive inflation higher. It said more measures to curb excessive liquidity are needed to help maintain stable prices. China's CPI stood at 1.5 percent for the whole of 2006, but it reached 2.8 percent in December alone, the highest increase in 22 months. The index was up 2.2 percent in January and 2.7 percent in February. China wants to limit inflation to 3.0 percent in 2007, according to the government work report delivered by Premier Wen Jiabao earlier this month. The central bank raised one-year benchmark interest rates by 0.27 percentage points on March 18 to view of ominous inflationary trends. The report also said China's gross domestic product will grow 10.0 percent this year. The country's economy surged 10.7 percent last year, the fourth consecutive year of double-digit growth. The State Information Center predicted in a separate report that the country's GDP will rise around 11 percent in the first quarter of this year. The Asian Development Bank said in a report on Tuesday that China's GDP was projected to grow 10 percent and inflation 1.8 percent year-on-year in 2007.

Editor: Song Shutao

FROM:http://news.xinhuanet.com/english/2007-03/30/content_5916821.htm

Last:Chinese economy to grow at least 10.5% in 1st quarter

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