There have been continuous price rise in China and, therefore it has been said by the Bank of China that at this point of time, the country needs to immediately maintain its practical monetary policy. As told by the people's Bank of China, though many factors that have found responsible for inflation have been controlled to an extent, these have not yet been eliminated entirely.

On Friday, the Chinese annual consumer inflation was released according to which the same was mentioned as 6.2% in August. In July, the percentage was 6.5 which were known to be the highest in last three years. Following this release, the above statement from people's bank of China was published on its website.

As told by the Central bank of China, when the inflation is too high, then the foremost priority of macro-economic policy becomes to calm down the overall price levels at any cost.

It has also been confirmed by the bank, that China would "stick to prudent monetary policy and maintain appropriate money and credit growth".

However, for the last time, the interest rates were increased on July 6 and the bank required reserves were raised on June 14. As announced by the central bank since July 1 there will be no considerable monetary tightening further.