China's macro economic adjustment policies have evidently shown some effects in stabilizing the consumer prices. As the prices remained stable, the sales of both consumer and producer goods markets were on the increase in 2006. In the first 10 months of the year, the total volume of retail sales reached 6,208.91 billion yuan, increasing by 13.6 percent year on year, the fastest increase since 1997.

Figures released by the Ministry of Commerce show that, in the same period, a stronger purchasing power had been seen in China's rural areas with total retail sales of consumer goods amounting to 2012.1 billion yuan, surging 12.4 percent, 1.4 percentage points higher than that of the same period a year earlier in terms of growth rate.

Consumers from urban areas still spent more than their rural counterparts, outpacing the latter by 1.8 percentage points in growth rate, slowing down 0.1 percentage point from the previous year.
 According to the ministry's latest prediction of the domestic market situation, China will gain a constantly favorable economic climate in 2007, with the gaps between urban and rural areas and between different regions continuing to narrow.

(China.org.cn)