Tuesday, April 5, 2011

China raises interest rates again to tackle inflation

China's central bank has raised key interest rates by a quarter-point in a further effort to curb bank lending and rein in inflation.

The latest move takes the one-year deposit and lending rates to 3.25% and 6.31% respectively.

The People's Bank of China said the rise - the fourth since late last year - would take effect from Wednesday.

China has been battling inflation, with consumer prices rising 4.9% in February from the same month a year ago.

Food prices alone surged by 11% in February from an year ago.

Source: BBC
www.bbc.co.uk

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