China cbank sees downward pressure on economy

BEIJING: China faces growing downward pressure on economic growth, but there is no need to worry, Zhang Jianhua, the head of the research bureau with the central People's Bank of China, said on Wednesday.
Zhang mentioned central government tightening on property, control of local government debt vehicles and efforts to reduce carbon intensity as reasons for the downward pressures on economic growth.
But he added there was no need to worry about a sharp slowdown as China was pouring money into affordable housing, encouraging private sector investment and speeding up development in certain regions, like restive Xinjiang in the far west.
Zhang, in a speech delivered to a summer camp organised by the National School of Development at Peking University, added that full-year CPI would rise by about 2.8 per cent this year. He said that he still expected GDP to grow about 10 per cent for the full-year despite the expected slowdown in the third and fourth quarters.