HONG KONG, Nov 18 (Reuters) - China's decision on whether to resume appreciation of the yuan is complicated as it will be made by the State Council, Fan Gang, a member of the People's Bank of China's monetary policy committee, told Reuters on Wednesday.
Fan said he did not know whether the currency
Structural issues were more important including increasing consumption in China and savings in the United States as well as the need to control the U.S. fiscal deficit.
Fan said capital inflows, or "hot money," into China had become a problem and warned of the risk of asset bubbles emerging.
Fan forecast China's economy could grow by 8-9 percent next year, adding that annual growth of 7-9 percent was optimum as it avoided high inflation or deflation.
If the economy could maintain 7-9 percent annual growth, it could expand at that pace for 20 years, he said. (Reporting by Susan Fenton and Deborah Kan; Editing by Jonathan Hopfner) (susan.fenton@thomsonreuters.com; +852 2843 6367; Reuters Messaging: susan.fenton.thomsonreuters.com@reuters.net)