Inflation to reach 5.1% high
Source: Xinhua |
April 25, 2011, Monday
|
Print Edition
Print Edition
China's consumer price index, the main gauge of inflation, will rise between 4.9 and 5.1 percent year on year in the second quarter, an official with the National Development and Reform Commission said yesterday.
The CPI will rise to about 5 percent in the first half of the year and move slightly lower in the second, Xu Lianzhong, director with the NDRC's Analysis and Prediction Office said at the 5th China Derivatives Analyst Forum 2011 in Hangzhou in east China's Zhejiang Province.
Xu said China still faces grave inflationary pressures caused mainly by rising costs of production, which pushed up the price of food, commodities and services.
"The country has raised minimum grain purchase prices this year which will, in turn, keep the prices of meat, eggs and vegetables at high levels," he said.
Meanwhile, rising prices of labor and production, including fertilizers, diesel oil and seeds, will push up food prices, Xu said, adding that the price of highly processed foods might also pick up the upward trend.
"It is pretty tough for the country to keep 2011's whole year CPI growth under 4 percent," he said.
But he added that the CPI was unlikely to rise further, as it had already reached a high level.
China's CPI growth hit 5 percent in the first quarter of this year with the March CPI hitting 5.4 percent year on year, up from 4.9 percent in February.
To mop up excess liquidity, China's central bank has raised commercial banks' reserve requirement ratio four times and raised benchmark interest rates twice since the beginning of this year.
The CPI will rise to about 5 percent in the first half of the year and move slightly lower in the second, Xu Lianzhong, director with the NDRC's Analysis and Prediction Office said at the 5th China Derivatives Analyst Forum 2011 in Hangzhou in east China's Zhejiang Province.
Xu said China still faces grave inflationary pressures caused mainly by rising costs of production, which pushed up the price of food, commodities and services.
"The country has raised minimum grain purchase prices this year which will, in turn, keep the prices of meat, eggs and vegetables at high levels," he said.
Meanwhile, rising prices of labor and production, including fertilizers, diesel oil and seeds, will push up food prices, Xu said, adding that the price of highly processed foods might also pick up the upward trend.
"It is pretty tough for the country to keep 2011's whole year CPI growth under 4 percent," he said.
But he added that the CPI was unlikely to rise further, as it had already reached a high level.
China's CPI growth hit 5 percent in the first quarter of this year with the March CPI hitting 5.4 percent year on year, up from 4.9 percent in February.
To mop up excess liquidity, China's central bank has raised commercial banks' reserve requirement ratio four times and raised benchmark interest rates twice since the beginning of this year.
- About Us
- |
- Terms of Use
- |
-
RSS - |
- Privacy Policy
- |
- Contact Us
- |
- Shanghai Call Center: 962288
- |
- Tip-off hotline: 52920043
- 沪ICP证：沪ICP备05050403号-1
- |
- 互联网新闻信息服务许可证：31120180004
- |
- 网络视听许可证：0909346
- |
- 广播电视节目制作许可证：沪字第354号
- |
- 增值电信业务经营许可证：沪B2-20120012
Copyright © 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.
