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China's central bank says domestic growth will slow but there won't be a double-dip. The People's Bank of China says it's "prudently optimistic" about the economic outlook and ruled out any big policy changes in the coming months.
China's GDP growth slowed to 10.3 percent in the second quarter, from 11.9 percent in the first three months of 2010. The central bank says the slowdown was an adjustment from "previous too-fast growth" and was an intended result of macro-economic policies, including a clampdown on the property sector.
The central bank says the overall external environment will be better than last year. It also adds the euro zone debt crisis won't lead to a global downturn, and the impact on China's economy will be limited. As for inflation, the bank says inflationary pressure has eased.