f policy.
China may continue to raise the requirement ratio this year, possibly increasing it three or four times to 18 percent from the current 16 percent, said Qu Hongbin, chief China economist of HSBC.
Qu said an interest rate hike could come in April because inflation could be very serious if interest rates are not raised. China is scheduled to release its first-quarter economic data in mid-April.
Economists also forecast that China's CPI could be mild in January, because of the relatively high base of last January. China's traditional Spring Festival fell in January last year.
But it can rise up to 3 percent in February as consumption can still pick up during the Chinese New Year period, which starts on Feb 14, analysts said. Inflation could stabilize later, Nomura Securities reported.
"If that happens, the possibility of interest rate hikes would decrease
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(Source: China Daily/Agencies)
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Analysts say China should not yield to Obama's hardline on yuan
TOKYO, Jan. 18 -- The Regional Economic Report released by the Bank of Japan (BOJ) on Monday showed that in January the pace of the recovery is picking up in all regions of the nation, but that there are still discrepancies depending on areas surveyed.
It was the second consecutive quarter in which the BOJ has upgraded its outlook.
"Compared with the assessment in October 2009
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louboutin london store , and Shikoku) maintained their assessments, while four regions (Kanto-Koshinetsu, Tokai, Kinki, and Kyushu-Okinawa) reported an upward change in the economic trend," the report said.
The report noted
louboutin london store , however, the situation for employment and income remained severe. "All