China’s inflation could be kept under control this year, making it difficult to predict whether the central bank will need to increase interest rates, Bank of China Ltd (中國銀行) president Li Lihui (李禮輝) said.
The world’s second-largest economy is in “steady mode” and recovering, Li said in an interview in Beijing, where he was attending the annual session of the National People’s Congress, the country’s legislature.
“The consumer price index will still be controlled relatively well this year,” Li said. “Our projection is that it can be maintained at about 3 percent.”
“Under this scenario, it’s hard to say at this point whether the central bank will need to raise interest rates,” he added.