But going beyond such general comments, I believe the following reasons can be given for this constraint. 4  With regard to the appropriateness of the phrase, “lost decade”, see Shirakawa (2009). 5  See Box1.1 “Could Deflation become a Global Problem?”, IMF (2003). 6  Federal Reserve Bank of Kansas City (2003).
The growth slowdown in China continued, accompanied by increased volatility in domestic financial markets. This was partly in response to policy changes and persistent concerns regarding the stability of the financial sector. The slower growth continued to impact negatively on commodity prices, further complicating the outlook for commodity-producing emerging markets.