Yi Gang, governor of the country’s central bank, said that China’s average Consumer Price Index (CPI) growth for the year 2021 was expected to stay below two per cent.
Gang said this at the 13th Lujiazui Forum in Shanghai on Thursday while judging from various factors, the country’s CPI remained low in the first couple of months but would likely trend higher.
He said that considering that China’s economy is operating within a reasonable range and nears the potential output level, the price trend is under control.
Gang said the central bank would continue to implement a normal monetary policy to ensure stability.
Data from the National Bureau of Statistics showed on Wednesday that China’s CPI rose 1.3 per cent year on year in May.
He said that average CPI in the first five months of the year went up 0.4 per cent from the same period last year.
The country has set its consumer inflation target at around three per cent for the year 2021, according to this year’s government work report.