Stabilizing prices crucial to macro economy

Since the beginning of this year, some unexpected changes such as the complex evolution of international geopolitics and the emergence of a new round of domestic epidemics have had an impact on the Chinese economy, and the downward pressure has further increased.

At present, global inflation is on the rise. It is largely the less-developed countries that are paying the bill. In many emerging economies, the inflation rate has exceeded 10 percent, and in a few countries it has even exceeded 50 percent.

Given its close connection with the world economy, the increase of international commodity prices will expose China to mounting imported inflationary pressure. This effect is already evident in the May data. Gasoline, diesel and liquefied petroleum gas prices, for example, rose 27.6 percent, 30.1 percent and 26.9 percent year-on-year, respectively.