Posted on 15 Jul 2010
The Chinese economy may slow more sharply than expected in the second half of the year, so the government should refrain from any further policy tightening, the official China Securities Journal said today.
One of the country’s leading economic dailies, it used a front-page editorial to call for an extension of the active fiscal policy and appropriately loose monetary policy that Beijing first implemented at the height of the global financial crisis in late 2008.
It also forecast that second-quarter GDP growth would slow to about 10 per cent year-on-year from an 11.9 per cent pace in the first quarter, and that both the consumer price and producer price indexes may have dipped in June.
