Source: CCTV.com

04-16-2008 18:54

China's economy grew 10.6 percent in the first quarter this year, showing signs of slowing down.

A spokesman for the National Bureau of Statistics said on Wednesday China's GDP grew 10.6 percent in the first quarter. (CCTV.com)
A spokesman for the National Bureau of Statistics said
on Wednesday China's GDP grew 10.6 percent in the first
quarter. (CCTV.com)

The Consumer Price Index remained high, rising more than 8 percent in the first quarter year-on-year.

Zhang Lu with more data just released by the National Bureau of Statistics.

A spokesman for the National Bureau of Statistics said on Wednesday China's GDP grew 10.6 percent in the first quarter.

That's more than 1 percentage point lower than the same period last year.

Li Xiaochao, Spokesman of National Bureau of Statistics, said, "The main economic indices have shown signs of slowing down. The GDP growth rate was 1.1 percentage points lower than the same period last year. The industrial added-value growth rate dropped by 1.9 percentage points. And in March, the growth rate of the M1 and M2 money supplies both declined."

Compared to the same period last year, fixed-asset investment grew 24.6 percent and domestic consumption grew 20.6 percent.

Foreign trade in the first three months grew 24.6 percent, with the growth rate of exports dropping by more than 6 percentage points.

The Consumer Price Index, a major gauge of inflation, grew 8 percent in the first quarter. In March alone, the index grew 8.3 percent.

Li said food price increases remain the main driver behind the rise. He said the country still faces challenges in controlling CPI.

Li Xiaochao, Spokesman of National Bureau of Statistics, said, "There is great pressure. If we want to achieve the goal of keeping it within 4.8 percent, that means average CPI in the rest of the year cannot exceed 4.2 percent. Many new factors are contributing to the hike, including a price increase in production materials and the growing cost of labor."

Li said the country will give more support to agriculture to expand market supplies. He said the government will take any necessary -- and legal -- measures to control prices.

And, he added that tight monetary policy, as well as prudent fiscal policy, will remain in place to ensure the economy grows in a fast, but healthy, way.

 

Editor:Zhang Pengfei