China again raises interest rates

Most Popular posts from other blogs...

6 April 2011 last updated at 00: 38 GMT of the Central Bank his rising inflation has different policy instruments in recent months China's Central Bank has further efforts to reduce the Bank lending key interest rates by a quarter point in one and inflation restrain raised and try trying.

The ascent takes the one-year deposit and lending rates to 3.25% and 6.31%.

People's Bank of China, which said the fourth rate increase since the end of last year from Wednesday would take effect.

China has the fight inflation, with 4.9% in February from the same month before a year of rising consumer prices.

'Aggressive move'

"It is a more aggressive step and the Central Bank acts more aggressively then, the market had expected," Xu Biao from China Merchants Bank in Shenzhen said.

"More importantly, it is not the end of China's monetary policy tightening".

Last month, said Prime Minister Wen Jiabao, the country's legislature, the Maria reining prices of the Government "highest priority" in the year was 2011.

Pockets of discontent rose alone the food prices by 11% in February from a year ago sparking.

To control despite the efforts to inflation is the rate over the Government target of 4%.

Maria reining lending

The BBC's Martin patience in Beijing said that China's inflationary pressures partially 2008 be suppressed on the response of the Government to the global financial crisis.

It one hundred billion dollars into the economy pumped, what, that growth quickly meant recovered.

But one of the side effects of this liquidity in the markets was inflation.

The Chinese Government has various methods to try and reduce loan used.

On 18 March the Central Bank of boosted Bank reserves - the amount of cash the banks - to half a percentage point, to 20% aside.

This freezes a cash, banks could give out otherwise.

The BBC's Martin created by Beijing on the last attempt by the Chinese authorities to the inflation restrain patience.