CPI rises 3.5% in August as growth quickens

China’s Consumer Price Index (CPI) rose 3.5% year-on-year in August as higher food prices continue to add to inflationary pressures, AP reported. Food prices rose by 7.5% in August from the previous year, driven by flooding that continues to hamper domestic food production. Over the first eight months of the year, China’s CPI rose 2.8% year-on-year, still below Beijing’s full-year target of 3%. The National Bureau of Statistics also released data showing that industrial growth accelerated to 13.9% year-on-year in August, up from 13.4% growth in July. Power generation rose 12.6% year-on-year, while retail sales rose 18.4% to US$185 million. Fixed-asset investment increased 24.8% year-on-year to US$2.1 billion.