Skip to content

Economic Information Daily on China’s Inflation

An article appearing in Xinhua’s Economic Information Daily quoted Li Daokui, a member of China’s Central Bank’s Committee on Monetary Policy, as stating, “The world, including China, has entered into an era of high inflation. Over the next five to ten years, China’s inflation will remain at a high level. Predictions are that, in the next decade, prices of energy and resources will be an important factor pushing up inflation.” 

The article also mentioned urbanization and growing labor costs as two other sources of inflation. It quoted “The Grant Thornton International Business Report,” which said that, in 2011, 40% of mainland companies will face a shortage of skilled laborers, and that, in the next 12 months, 64% of mainland companies plan to increase their workers’ pay.

Source: Economic Information Daily, May 17, 2011