Anti-inflation policy tightening is still not small or the introduction of follow-up

 High-profile Chinese macroeconomic data for 2010 released yesterday, the annual growth rate of 10.3% of the GDP, CPI rose 3.3%, in line with market expectations. Many industry experts point out that, overall, this year China's economy is still to be multi-pronged approach to curb inflation, but also to maintain stable economic growth as a policy priority.

Economic growth this year, According to National Bureau of Statistics data released yesterday, last year's double-digit GDP growth, growth rate 1.1 percentage points faster than the previous year. This growth rate slightly above market expectations, than watching from the ring, GDP declined quarter by quarter showing, but it also shows that economic growth is running toward the control target.

Zuo Xiaolei, Galaxy Securities chief economist, said last year China's GDP growth rate of 10.3% is still in a reasonable range of potential growth, the overall trend, China's economy has been transformed from a smooth to the good for the stable growth. But not conducive to high growth is expected to control inflation, GDP growth in 2011 will be controlled between 9.5% to 10%.

mainly due to base effect and government austerity policies. Inflation pressure is still not small

Although the CPI growth in December last year, there highs, but in the hikes, and seasonal factors, adverse weather, this year domestic

Ma Jian Tong said yesterday that the National Bureau of Statistics, December slowdown in domestic consumer price growth since the fourth quarter of means adopted to increase supply and demand regulation to protect the flow control market and increase subsidies for low-income groups, a series of policy measures achieved obvious results. slower than the 2.1 percentage points in November.

It is worth noting that the current labor costs, imported inflation pressures and other factors that influence the price has not changed. From domestic factors, Ma Jian Tong that, given the early response to the international financial crisis, China's total money supply more CPI for 2011, 2010, brought hikes is expected to reach about 2.6 percentage points, plus the recent domestic labor, land costs, upward pressure on prices this year should not be underestimated. On the international front, following the international prices since the second half of 2010 in the major grain producing areas of frequent extreme weather, rising food demand and speculation under the influence of factors such as rising interwoven, the international agricultural market in 2011 may continue to extend gains.

However, Ma Jian Tong also pointed out that there are should see the current year, inflation at the target range of favorable conditions. Follow-up to the introduction of austerity or

The central bank has recently spent two more rate hikes, 7 raising the deposit reserve ratio to tighten liquidity in the context of the rise in prices, anti-inflation has become the focus of the current macro-control. Industry was widely predicted that the impact of the Spring Festival, January, February CPI may hit a new high, so tightening up will be launched soon.

SG Chinese economist Yao Wei pointed out that the CPI index for December last year, tightening policy in the fall, the latest data show that China's strong economic growth, rather than food-related inflation will continue to rise, inflation is only temporarily suppressed, in the beginning of this year will continue to rise. From the monetary policy, expected the first quarter of 2011, there will be two interest rates and deposit reserve ratio several times to adjust. Meanwhile, the NDRC and the Ministry of Agriculture in the near future are also likely to introduce more measures to stabilize prices.

Bank of Communications, Center for Financial Research senior analyst with Tang Jianwei macro view, macro-control policies in the first half of this year the focus will shift to efforts to control inflation risk, due to economic slowdown fears elimination, does not rule out the intensity of future policy tightening likely than expected . He is expected to occur during the first half of this year the deposit reserve ratio, interest rates and exchange rates three rate increases to control inflation work situation. (Reporter Tang Weijie)