China to Tighten Monetary Policy in 2011
The Politburo decided that China's monetary policy should shift "from relatively loose to prudent next year," The New York Times said, citing a report in state news agency Xinhua.
The Politburo is an elite nine-member team at the top of the political hierarchy.
Authorities have raised the benchmark lending rate and bank reserve requirements in an attempt to cool spending and head off a potential credit bubble.
Still, the Politburo said that China "will continue its proactive fiscal policy," suggesting that it will not drastically reduce investment spending.