State media: 2008 GDP forecast at 9.8%

A report by the official China Securities Journal forecasts China’s GDP growth rate in 2008 at 9.8%, state media reported. The forecast growth rate is lower than the 9.9% growth rate posted in the first nine months of the year. Full-year consumer price growth is expected to hit 6.3%, up from 4.5% in the first three quarters, and the producer price index is expected to rise 7.8% on the back of more expensive raw materials and other inputs. The China Securities Journal also said it expected the effect of the global economic downturn to gradually intensify in China, making maintaing rapid and stable growth Beijing’s key priority in 2009.