The graph shows inflation rates (consumer prices — annual per cent) in China from 1987 to 2010.

Inflation peaked at 24.24 per cent in 1994, and then hit a low of 1.41 per cent in 1999. Inflation poses a major problem for the Chinese. In late 2010, it surpassed the government’s target of 3 per cent. It now stands at 3.31 per cent.