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      Economy

      China March inflation grows 1.4 pct year on year

      1
      2015-04-10 10:13Xinhua Editor: Gu Liping
      Residents purchase vegetables at a market in Changchun, capital of northeast China's Jilin Province, April 10, 2015. China's consumer price index (CPI), a major gauge of inflation, rose 1.4 percent from a year earlier in March, according to the data released by the National Bureau of Statistics on Friday. (Xinhua/Zhang Nan)

      Residents purchase vegetables at a market in Changchun, capital of northeast China's Jilin Province, April 10, 2015. China's consumer price index (CPI), a major gauge of inflation, rose 1.4 percent from a year earlier in March, according to the data released by the National Bureau of Statistics on Friday. (Xinhua/Zhang Nan)

      China's consumer price index (CPI), the main gauge of inflation, grew 1.4 percent year on year in March, the National Bureau of Statistics (NBS) said Friday.

      The reading remained the same as in February, up from a 0.8-percent gain in January, the lowest level in more than five years.

      On a monthly basis, consumer prices in March edged down 0.5 percent from February.

      NBS statistician Yu Qiumei attributed the monthly drop to declining prices after the Chinese Lunar New Year holiday.

      Food demand retreated after the holiday, vegetables are in rich supply due to seasonal factors and service prices dropped as many workers returned to their jobs after the holiday, Yu said.

      "The March CPI came in at 1.4 percent year on year, slightly higher than the market consensus and our expectation of 1.3 percent," said Bob Liu, an analyst with the China International Capital Corp., adding that deflationary risks remain high.

      China's economy grew 7.4 percent in 2014, the weakest annual expansion in 24 years. A string of economic indicators for the new year, including manufacturing and trade data, all suggested continued weakness.

      The annual government work report, delivered by Premier Li Keqiang at the national legislature's annual session, set this year's economic growth target at around 7 percent and its inflation control target at around 3 percent. 

      Read more:

      China's producer prices continue to slide in March

      China's producer price index (PPI) slid 4.6 percent in March, compared with a 4.8-percent decline for February, according to official statistics.

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