China Cites Risk of Deflation, Overcapacity

The AP reports, via Forbes, on the state of the Chinese economy:

China is facing deflationary risks due to overcapacity in many industries amid a sharp downturn in demand, the central bank said in a report issued late Monday.

“Against the backdrop of shrinking general demand, the power to push up prices is weak and that for driving down prices is strong,” the People’s Bank of China said in its report on fourth quarter 2008 monetary policy.

“There exists a big risk of ,” said the report posted on the central bank’s Web site.


CDT on Twitter

Google Ads 1


Giving Assistant

Amazon Smile

Google Ads 2

Anti-censorship Tools

Life Without Walls

Click on the image to download Firefly for circumvention

Open popup

Welcome back!

CDT is a non-profit media site, and we need your support. Your contribution will help us provide more translations, breaking news, and other content you love.