Economic forecast.

The article forecasts the economic conditions in China in 2006-2007. Global economic growth at purchasing power parity exchange is projected to slow from an estimated 4.5 percent in 2005 to 4.2 percent in 2006 and four percent in 2007. Year-on-year consumer price inflation reached 19 percent in January 2006, despite the increase in global oil prices. It is expected that renminbi's appreciation will accelerate in 2006. The deficit on the services account will increase from $13.8 billion in 2005 to $21.7 billion in 2006 and $33 billion in 2007.