China Tells

During an interview to Xinhua News Agency, Premier Wen Jiabao commented on the recent economic situation (See Article from WSJ). Premier Wen’s speech reflects the government’s stand on the following issues: 1) bank lending a bit too agressive and big, however the scale and depth has been adjusted in second half 09; 2) for the moment there is no concern on inflation, however it remains a potential issue to be watched (See Discussion from Chinatells); 3) foreign pressure on RMB FX rate is unlikely to exert any impact on Chinese government. A stable FX policy is still clearly preferred; 4) Property price in a few big cities is going up too fast and has caused attention from the government; 5) China government could still appreciate RMB in next year or the year after, however, the government would like to make it clear that even if the appreciation happens, it is not due to foreign pressure. Face is very important in the Chinese culture, and sometimes Face means a lot more than anything else.

中国总理温家宝近日接受新华社采访，针对一些经济时事发表了自己的看法。温总理的讲话可以概括为以下几点：1。人民币可能汇率保持稳定最好，中国政府不会因为外国压力随意改变人民币汇率；2）银行在09年的贷款发放有些过度，该情况在09年下半年得到改善，但是过度放贷可能在未来带来一些成本；3）一些城市房价上涨过快；4）目前无通胀之虞。仔细推敲温总的讲话，对中国政府10年的宏观政策应该可以得出一些预计推测。