Expert warns against economic overheating

Home>>Business

Last updated at: (Beijing Time) Monday, November 03, 2003

Expert warns against economic overheating

With an 8.5 percent year-on-year growth during the first nine months of this year, China's economy has been facing the danger of overheating, an expert said.

DISCUSSION

CHINESE

SEND TO FRIEND

With an 8.5 percent year-on-year growth during the first nine months of this year, China's economy has been facing the danger of overheating, an expert said.

In order to prevent this prospect, the People's Bank of China issued a rule in June, saying it would tighten controls on loans to the fast-growing real estate sector, and later announced a 1 percentage point hike in the required reserve ratio at commercial banks in August to 7 percent.

But these actions seemed to have little impact on money supply and the rapid increase of loans, said Wang Zhao, a researcher withthe State Council's Development Research Center.

During the past five years, the ratio of State investment through issuing treasury bonds to the entire fixed assets investment dropped, but the growth of the entire fixed assets investment grew steadily.

Questions?Comments? Click here

Opinion: Overheating economy a false alarm

Central Bank Cools Down Loan Growth

China Tries to Avoid Overheating while Spurring New Growth Sectors

Is English invading Chinese culture? ( 20 Messages)

Chinese fleet visit heart of US forces in the Pacific ( 15 Messages)

Global survey: Chinese women sexiest ( 56 Messages)

Economist: China has no need to worry about possible trade deficits ( 3 Messages)

Japanese students, teacher make apology in Xi'an ( 17 Messages)

China expects to see trade deficit in near future: official ( 9 Messages)