PBOC: Recovery to strengthen despite inflation pressures

The central bank said on Friday that China's economic recovery is "likely to strengthen" this year while it will face intensifying inflationary pressures.

Policymakers, however, may not keep policies "over-tight", analysts said.

The country will continue to adopt a moderately relaxed monetary policy and active fiscal policy, while making them more targeted and flexible, the People's Bank of China said in a report analyzing the economy in the fourth quarter of 2009.