| China's economic growth relies heavily on investment, which means that it requires major injections of capital. One of the ways China achieves that is by increasing the money supply - literally, printing more currency (the renminbi, or the yuan, as the unit is more colloquially known).
"In the past 30 years," explained a government economist, Wu Xiaoling, in 2011, "we have used excessive money supply to rapidly advance our economy." At the end of 2013, the excess of money supply totaled 110.65 trillion yuan ($17.77 trillion), four times more than 10 years earlier - a clear sign that the government is printing money faster than the economy is expanding...............................................Full Article: Source
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