The Goldman Sachs Group predicted in a latest report China's real GDP growth would be 11 percent in the second quarter of the year.

The figure was slightly higher than the previous prediction of 10.9 percent by the research bureau of the People's Bank of China, the central bank.

Trade surplus would remain as a key contributor to the growth, Hong Liang, chief economist with the Goldman Sachs (Asia) China, said in the report.

The report also said industrial output and fixed asset investment may have grown at a quicker pace in June, while rising prices for pork would push the inflation rate up to four percent.

The central bank would adopt more tightening measures, like further interest rate hikes, as fast economic growth and the tendency towards inflation suggested increasing risks for China's economy, said the report.

(Xinhua News Agency July 18 2007)