NDRC official: Inflation may exceed 4% target

China may surpass its full-year inflation target of 4% or less for 2011, state media reported quoting an official with China’s economic planning commission. Zhang Xiaoqiang, vice minister of the National Development and Reform Commission, told reporters in Dalian that the 4% figure was a “predictive target” rather than a “directive” one. Zhang added that the government is maintaining inflation as its top priority, but based on current trends, the 4% target is likely to be missed. Separately, the People’s Bank of China released a poll indicating that most bankers anticipate higher interest rates later this year, and residents expect inflation to remain high. Some 72% of respondents said that consumer prices were “too high to accept,” up 3.8 percentage points from the second quarter. China’s Consumer Price Index rose 6.2% year-on-year in August, down slightly from a 6.5% increase in July.