According to the forecast compiled by 14 economists in China, the inflation will peak to be at 4.4 percent trailing in this year. But after the banks bringing the new waves of bountiful money in the financial system, Premier Wen Jiabao pledges to keep the inflation on a low note of 3 percent, during the year.

The speech was conducted in Beijing, yesterday to the lawmakers by, Wen.

On a nodding note, the Hong-Kong based Ma Jun, chief China economist at Deutsche Bank AG commented that the 3% figure is fair enough and the target should be completed with an aggressive determination, for which the government should increase the interest-rate and price controls to achieve the same.

To reach to the goal of curbing the inflation, the government has to make the interest rates fly high as early as possible, when its is standing at the threshold of the year and to protect the bank interest on the deposits. Upon this, Wen has already given his word to keep the price levels as stable as possible so the same might not outstrip the interest rates on bank deposits.