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Increasing Inflationary Pressure


□ Guo Yan

  China’s CPI rose to 8.7 percent inFebruary after hitting 7.1 percentin January. creating a 12-year high,the National Bureau of Statistics said. Thefigure exceeded market expectations, asthe Bank of China, the country's second-largest lender, had predicted a rise of only8.3 percent. The Consumer Price Index(CPI) is the main gauge of inflation, andthe high CPI over the last two months hasptlt pressure on the government to take action to curb the price increases, and addedeven more difficulty to the task of reiningin this year’s inflation rate. The re-createdhistorical high of CPI has raised accumu-lating concern from the“Two Sessions”.


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