Inflation Hits Highest Level in China
Core inflation in China reached its highest level in 19 months in September, reflecting a gradual stabilization in consumer prices and a steady strengthening of domestic demand, according to data released yesterday by the National Bureau of Statistics of China.
The core consumer price index, excluding food and energy, rose by 1 percent year-on-year, marking the fifth consecutive increase and the fastest pace since February 2024.
The overall consumer price index showed a positive trend, increasing by 0.1 percent month-on-month after remaining stable in August, while its annual decline slowed to 0.3 percent, compared to 0.4 percent the previous month.
These figures indicate that the world’s second-largest economy is starting to emerge from a prolonged period of declining inflationary pressures, as Beijing intensifies measures to support consumption and investment to boost recovery.
Since the beginning of the year, authorities have adopted a series of targeted stimulus policies, which include loan facilitation for households and businesses, and accelerating public spending on infrastructure to offset weak external demand and ongoing softness in the real estate market.
Analysts indicate that the gradual rise in core inflation reflects an improvement in household spending and a more sustainable recovery in the services sector, although overall growth remains constrained by consumer caution and global economic uncertainty.
