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Yahoo! My Yahoo! Mail More Yahoo! Services Account Options New User? Sign Up Sign In Help Yahoo! Search web search Home Singapore Asia Pacific World Business Entertainment Sports Technology Singapore Asia Pacific World Little risk of double dip: China's central bank AFP - Wednesday, July 28 Send IM Story Print Little risk of double dip: China's central bank Slideshow: Full Photo Coverage: Business & Economy BEIJING (AFP) - – The slowdown in China's economy will stabilise and there is little risk of a double dip recession, the central bank said Tuesday, amid fears the Asian giant was running out of steam. The world's third largest economy grew 10.3 percent in the second quarter, compared with 11.9 percent in the first three months, as government tightening measures started to bite, the People's Bank of China (PBoC) said in a statement on its website. But the economic slowdown will level off and is in fact beneficial for the restructuring of the country's economy and ensuring sustainable growth, it said, adding: "China's economic fundamentals are still very good." "It is likely the economic slowdown will stabilise in the future, but the chance of a double dip is not likely," the central bank said. Policymakers will stand by current macroeconomic policies, such as those aimed at cooling the property market and reining in rampant bank lending, because the economy is moving in the "expected direction", it added. The bank said the European financial crisis would have an impact on China's exports in the near-term, given the region is China's largest trading partner, but the effect on the overall economy would not be significant. "Even though exports to Europe will weaken in the short term, there is low risk of the crisis having a serious impact on the Chinese economy," the PBoC said. The bank's comments come after Premier Wen Jiabao said earlier this month that the slowdown in the second quarter was in line with expectations, but warned of economic difficulties ahead. "So far this year our nation's economy is continuing to develop in the direction set by our macroeconomic controls," Wen said, according to a report on his government's website. "The progress made has not come easy. Faced with the current situation, we must ... fully anticipate the difficulties and problems ahead and strengthen our awareness of the dangers." Recommend Send IM Story Print Related Articles US-BUSINESS Summary Reuters - 24 minutes ago Goldman launches derivatives clearing service Reuters - 24 minutes ago DuPont boosts 2010 forecast Reuters - 25 minutes ago Examiner sees signs of dishonesty in Tribune sale Reuters - 34 minutes ago CORRECTED - Air Berlin expects to join Oneworld in early 2012 Reuters - 40 minutes ago News Search Top Stories Europe clears huge US airline merger Dutch court gives go ahead for teen sailing attempt Deutsche Bank raises quarterly profits despite crisis UBS posts forecast-beating second quarter profit Oracle's Ellison highest paid CEO of the decade More Top Stories » Related Full Coverage China Economychina economy All Full Coverage » ADVERTISEMENT Most Popular Most Viewed Most Recommended World's first full face transplant man appears on TV Quark by quark, atom smasher closing in on 'God particle' Oracle's Ellison highest paid CEO of the decade Central bankers agree on new bank standards With no state aid, 9 Spanish banks 'would fail tests' More Most Viewed » Parachuting donkey shocks Russian beachgoers Paris Hilton caught with cannabis in handbag World's first full face transplant man appears on TV Germany's 'Octopus oracle' keeps perfect record More Most Recommended » Elsewhere on Yahoo! Financial news on Yahoo! Finance Stars and latest movies Best travel destinations More on Yahoo! News Home Singapore Asia Pacific World Business Entertainment Sports Technology Subscribe to our news feeds Top StoriesMy Yahoo!RSS » More news feeds | What are news feeds? Also on Yahoo! Answers Groups Mail Messenger Mobile Travel Finance Movies Sports Games » All Yahoo! Services Site Highlights Singapore Full Coverage Most Popular Asia Entertainment Photos World Cup 2010 Copyright © 2010 Yahoo! Southeast Asia Pte. Ltd. (Co. Reg. No. 199700735D). All Rights Reserved. Terms of Service | Privacy Policy | Community | Intellectual Property Rights Policy | Help

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