Cooling measures will slow growth: Report
27 November 2006
The Economic Research Institute, a think tank at People's University, predicted in a report carried in the Beijing News that government cooling measures would slow China's economic growth to about 9.25% in 2007 and just over 9% through to 2010, Reuters reported. "Judging from the medium and long-term views, the macro-economy of China will end its prosperity stage of this economic cycle, but there will be no deflation or stagnancy," said Liu Yuanchun, an analyst at the institute who prepared the report. Consumer inflation would be 1.5% in 2006 and annual fixed-asset investment growth would hold near 27%, the researchers said. The estimates for 2006 and 2007 were roughly in line with a range of recent economic forecasts from various economists polled by Reuters.
