China's annual economic growth will exceed 9.5 percent in 2011 and will remain above 9 percent through the coming decade, an academic adviser to the People's Bank of China predicted on Wednesday.   

Li Daokui, who sits on the monetary policy committee of the People's Bank of China, said the country's long-term growth outlook would be underpinned by the need to continue investing in infrastructure.   

"China has a vast domestic demand that is untapped, and that's the fundamental difference between China now and Japan in 1985," Li said.   

In addition, China would have to spend a lot on "low carbon" industries, lending more support for the economy, he said.   

Li predicted global commodities prices, including oil, would rise sharply next year.   

Speculation about an interest rate rise in the coming days has intensified after an official newspaper flagged the chances of an imminent move amid expectations of rising inflation in November.

Asked whether the central bank should raise interest rates, Li said it should take steps to protect depositors. Concerns about hot money inflows would be a factor when the central bank starts considering whether to raise interest rates, he added. - Reuters