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China predicts 9.8% GDP growth in 2011

By Jia Xu (chinadaily.com.cn)
Updated: 2011-01-24 12:28

China is expecting a 9.8 percent growth rate of its Gross Domestic Product (GDP) and a 3.7 percent raise of its Consumer Price Index for the year 2011, the China National Radio (CNR) reported Sunday Jan 22.

Related readings:   GDP 'to slow this year'  GDP surged 10.3% in 2010  China's GDP grows 10.3% in 2010  Shanghai vows to sustain GDP, incomes

The estimate is cited in a recent report by Center for Forecasting Science of China Academy of Science (CAS) after banking interest rates were raised twice and a seven fold increase on deposit reserves was made by China’s Central Bank since October 2010.

The expansion of domestic consumer demands remains a priority for next year economic growth drive, whilst import and export rates will slow down compared to 2010, property prices and real-estate price growth rate will also cool down, according to the report.

Last year’s GDP growth rate should remain at 10.3 percent rate, the CPI from last December is 4.6%, 0.8 percent lower than that of November 2010.

The report also predicts six industries will see promising prospects, automobile, nonferrous metal, fossil, coal, steel and household electrical appliances industries.