A forecast issued by the Economic Forecasting Institute of the China Academy of Sciences said China won't see serious inflation in 2011 and the inflation pressure will ease later in the year.
The report said domestic demand would become a major driver of the economy growth this year and the foreign trade growth and property price growth are likely to be slower than in 2010.
China's central bank has raised interest rates twice since October and raised the reserve requirements ratio seven times since last year amid concerns that excess liquidity would boost inflation.
China's CPI growth was 4.6% in December, slowing from a record high of 5.2% in November last year, and GDP growth stood at 10.3% in 2010, according to official data.
Newspaper website: http://www.cnr.cn/
-By China Bureau, Dow Jones Newswires; 8621 6120-1200; email@example.com
Click here to go to Dow Jones NewsPlus, a web front page of today's most important business and market news, analysis and commentary: http://www.djnewsplus.com/access/al?rnd=6EmYXT5QyeSc7MDcOrbpSA%3D%3D. You can use this link on the day this article is published and the following day.
(END) Dow Jones Newswires
January 22, 2011 22:44 ET (03:44 GMT)
Copyright (c) 2011 Dow Jones & Company, Inc.- - 10 44 PM EST 01-22-11