8.5pc growth predicted for China in 2012

Source: 
scmp.com

China will probably engineer a soft landing, with economic growth slowing to about 8.5 percent this year from 9.2 percent in 2011, Li Daokui, an adviser to the country's central bank, said on Thursday.

Inflation, which has troubled China for much of the past year, is also likely to ease to about 3 percent from 4.5 percent in 2011, said Li, who sits on a board that advises the People's Bank of China.

China's inflation rate dropped to a 15-month low of 4.1 percent in December, just ahead of market expectations, extending an easing trend of the past five months and raising expectations that the central bank may ease monetary policy.

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