The head of the National Development and Reform Commission (NDRC) said inflation this year would exceed Beijing’s annual target of 3%, state media reported. Speaking at a coal industry conference, Zhang Ping said natural disasters and imported inflation, along with speculation and high levels of liquidity had contributed to rising prices. He said the government was closely monitoring commodity prices, especially the prices of agricultural goods. Food prices rose 8% in September, pushing the country’s consumer price index (CPI) to a 23-month high of 3.6%. The October CPI is expected to rise further. Zhang said supplies of many food items, including edible oil, were sufficient, although cotton and vegetables would be in short supply through the end of the year.
Categories