BEIJING (AFX) - Sixty pct of Chinese economists polled by the National Bureau of Statistics (NBS) believe the central bank should raise interest rates by 50 basis points within the next six months
China has been under pressure to adjust its monetary policy as rising inflation pushes real interest rates -- the cost of borrowing money -- into negative territory
"At an appropriate time in the fourth quarter of this year, or at the beginning of next year, the government should raise interest rates slightly, for example by 0.5 percentage points," the NBS said, citing a survey of 50 economists
The economists also urged the government to further open up the money market, lower entry requirements for foreign investors and move towards a more flexible exchange rate system
The survey found 38 pct of economists believe the yuan is undervalued against the dollar, while 50 pct think the current exchange rate is appropriate
In relation to the euro, 35 pct of economists said the yuan is undervalued, while 55 pct think it is adequate
China's major trading partners, especially the US, have been lobbying the government to float the currency, claiming it is undervalued, giving Chinese exporters an unfair advantage over competitors
Earlier this month, the People's Bank of China reiterated its policy of maintaining a stable currency
Its statement came on the heels of the State Administration of Foreign Exchange's dismissal of market rumors about an immediate revaluation of the yuan
About 50 pct of the economists surveyed expect the country's gross domestic product to grow by between 8.5 pct and 9 pct next year, while about 25 pct believe the growth rate may be even higher
Last week, the Chinese Academy of Social Sciences, a government think tank, said China's gross domestic product is expected to grow 9.4 pct this year and to slow to just above 8 pct next year
Majority of China economists think central bank should lift interest rates
notíCIas_pt
19
19-10-2004 04:12
Disclaimer:
O Clubeinvest.com informa que nenhuma da informação
aqui facultada deverá ser entendida como conselho ou recomendação
de qualquer tipo de transacção ou investimento.
