IMF Expects China'S Economic Growth Rate To Remain Close To 10% In The Next Two Years.

according to

China's economic growth in 2010 was 10.3%.

The economic growth target set by the Chinese government is 8% this year, and the average growth target in the next 5 years will be 7%.

IMF is expected to exceed the target of the Chinese government.

At the same time, IMF predicts that China's inflation rate will reach 5% in 2011 and 2.5% in 2012.

After the spring meeting last weekend, IMF18 released the "global economic outlook and policy challenges" report.

The report holds that the economy of emerging countries is still alive, but the inflationary pressure is increasing and the economy is showing signs of overheating.

The report points out that the measures taken by emerging countries to inflow hot money and overheating the economy will not be strong enough to increase the risk of "hard landing".

Yi Gang, vice president of the people's Bank of China, delivered a written speech at the IMF Spring Conference on Saturday, criticizing the quantitative easing policy of developed countries, which led to cross-border capital flows to emerging countries and hampered the economic stability and recovery of these countries.

Yi Gang acknowledges that the biggest challenge for China's economy is at present.

For China's economic policy assessment, IMF believes that tightening monetary policy has slowed China's credit growth, but if credit is to accelerate again, the risks and imbalances will increase, which may eventually lead to deterioration in loan quality, increased risk of real estate bubbles and expansion of inflationary pressure.

The IMF report recommends that China tighten monetary policy should not only quantify restrictions and raise the reserve ratio, but also use more means of raising interest rates.

The Central Bank of China has increased the deposit reserve rate for the fourth time this year since April 21st.

The IMF report predicts that the proportion of China's current account surplus in the next few years is still likely to remain at a high level. It is expected to be 5.7% in 2011, 6.3% in 2012, 6.8% in 2013 and 7.2% in 2014, after Saudi Arabia in GDP.