Chinese economy likely to slowdown slightly in Q4 - CASS

Forecasts by the Chinese Academy of Social Sciences (CASS) which advises the Chinese government were published by the official Shanghai Securities Journal newspaper on Wednesday. The report showed that CASS expects China's economy to slow slightly in Q4.

The agency predicts a growth rate of 6.6 percent in fourth quarter while its full-year growth forecast remains at 6.7 percent. China’s economy grew 6.9 percent last year, the slowest in 25 years.

The Consumer Price Index will add 2.1 percent for the next quarter, CASS said, with a full-year inflation forecast of 2 percent. China aims to hold this year’s consumer price growth at around 3 percent by the end of 2016.

“Government should carry on effective financial policies and moderate monetary policies to push reforms, strengthen economic sustainability, and resolve potential risks,” said Wang Hongju, a senior researcher at CASS.