MNI BRIEF: China Can Keep Economy Stable, Despite Lower Q3 GDP

China's fiscal strength continues to increase, and there is still ample room for monetary policy to promptly introduce effective measures in response to any changes, so to promote stable operation of the economy, said Fu Linghui, spokesman of the National Bureau of Statistics at a briefing on Monday, after releasing the latest Q3 GDP growth data, which unexpectedly slowed to 4.9%.

The issuance of local government special bonds has accelerated with major projects started construction one after another, and exports are still expected to maintain rapid growth, said Fu. He added that in response to possible monetary tightening by major economies, financial regulators have made some arrangements in advance to reduce possible spillover impacts.

"The tight energy supply is temporary, and its impact on the economy is controllable," said Fu, adding that the growth rate of power production has accelerated in September with measures to boost energy production kicks in.

PPI may remain at a high level in the near term, due to the continuous rise in international energy prices as well as the tight supply of some domestic raw materials, said Fu. The figure will gradually stabilize as global energy supply and shipping improve, he added.