Chinese Premier Li Keqiang has signalled a higher tolerance for inflation this year

News

A piece in the South China Morning Post recapping a speech from Chinese Premier Li Keqiang to the World Economic Forum (WEF), which was posted online last month.

  • signalled a higher tolerance for inflation this year
  • Li indicated that China’s inflation rate could reach 3.5 per cent this year, a broader range than the target of around 3 per cent proposed by government in March.
  • “If we can keep the unemployment rate below 5.5 per cent and the CPI rise stays under 3.5 per cent for the whole year, we can live with a growth rate that is slightly higher or lower than the target, not too low of course,”

More at that link above.

We had the heads up on this in the back half of July:

China has acknowledged reality and thrown in the towel on its GDP target:

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