China's inflation accelerated to a 37-month high in July, putting the government in a tough position as its tightening efforts have yet to bear fruit. Worsening global liquidity is also likely to bring more uncertainties for the Chinese economy.

The Chinese government has made stabilizing prices a top priority in the second half.

The combination of soaring consumer prices at home and the worsening global economic outlook has ostensibly added a further complication to China's endeavor to keep economic growth on track while preventing overheating.

China's inflation reaches 37-month high
China's Economic Figures in July 2011
 China's CPI accelerates to 6.5% in July  China's July PPI rises 7.5% year-on-year
 China's fixed-asset investment up 25.4 pct in first seven months China's July trade surplus jumps to 31.48 bln USD 
China's July PMI down to 50.7%   China's retail sales up 17.2 pct in July
 China's industrial value-added output up 14 pct in July China's exports up 20.4% in July
 Leader's Highlight

 

Chinese president reiterates policy stability, price control in H2

The government will take concrete efforts to "handle the relationship between speed, structure and price and continue to gear the economic development toward the direction of macroeconomic controls."

                                                                                                                                      ------------ Chinese President Hu Jintao

Price stability a top priority: Premier Wen 

"The country will stick to its macro-regulation stance and well grasp the direction, strength and rhythm of its macro-economic policies."

                                                                                                                                      ------------ Chinese Premier Wen Jiabao

Chinese vice premier warns of worldwide inflation risk

Facing a common challenge of inflation, all countries should increase the coordination of their macroeconomic policies to ensure economic growth while reining in inflation.

                                                                                                                                      ------------ Chinese Vice Premier Li Keqiang
 Voice of Government

 Stabilizing prices remains top priority for China: central bank

BEIJING, Aug. 12 (Xinhua) -- The People's Bank of China (PBOC), or the central bank, said Friday that it will continue to make stabilizing prices a top priority of its macro controls in the remaining months of the year.

It will stick to its regulation stance and continue a prudent monetary policy, while focusing on supporting the transformation of the country's economic growth pattern, the PBOC said in a report summarizing the implementation of its monetary policy in the second quarter. Full story

 China inflation in mild, controllable range: NDRC official

 China's pork prices flat last week: MOC

 Chinese economy's growth pace fluctuating within normal range: NBS

 China not yet ready to cut fuel, diesel prices: NDRC
 Policies and measurements

 China's central bank continues absorbing liquidity amid record inflation 

BEIJING, Aug. 9 (Xinhua) -- The People's Bank of China, or the country's central bank, auctioned off 2 billion yuan (about 308 million U.S. dollars) in one-year bills on Tuesday, its latest effort to curb China's staggeringly high inflation rate. Full story

 China raising low-income subsidy as inflation hits new high

CHENGDU, Aug. 11 (Xinhua) -- More than two thirds of Chinese provinces are hiking cost-of-living subsidies to low-income families to help them weather the impact of a spike in inflation.Full story

 More credit support to rural, affordable housing, small business in H2: report

BEIJING, Aug. 11 (Xinhua) -- China will continue to tighten its monetary policy in the second half of this year, but more funding will go to rural areas, affordable housing and small businesses, the China Securities Journal reported Thursday. Full story
 Analysis

  China should continue tightening monetary policy in H2: expert

BEIJING, Aug. 13 (Xinhua) -- China should continue to tighten liquidity in the second half of 2011 against the rising possibility that the U.S. may adopt another set of loose monetary policies following its current debt struggles, an expert said in an article published in the China Securities Journal on Saturday. Full story

 China may delay raising interest rates until 2012

BEIJING, Aug. 12 (Xinhuanet) --China may join Asian nations from South Korea to India in delaying interest-rate increases after the nation's leaders called for global cooperation to stabilize financial markets. Full story

 No time for complacency

BEIJING, Aug. 10 (Xinhuanet) --The combination of soaring consumer prices at home and the worsening global economic outlook has ostensibly added a further complication to China's endeavor to keep economic growth on track while preventing overheating. Full story

 China's economy set for long-term growth despite hurdles

 BEIJING, Aug. 4 (Xinhua) -- A slew of data seems to reinforce evidence that China's economy is slowing gently, prompting some observers to predict a "turning point" in the world's second largest economy which has enjoyed nearly double-digit growth over the past three decades.  Full story

 Chinese economy heading for soft landing: economist

BEIJING, July 17 (Xinhua) -- China's economy is heading for a soft landing, said Chinese economist Fan Gang.

Fan said inflation would ease in the second half of the year as the effect of interest rate rises usually can be seen in about six to nine months, the China Business Journal, a newspaper run by the Chinese Academy of Social Sciences, reported Saturday. Full story
 Other related special reports
 

 China raises interest rates again to curb inflation

China publishes first GDP rating system

   Six Years of China Forex Reform

 Editor: Tang Danlu