BEIJING - The world is facing spreading inflation and regulators all over the world should work together for better coordination, said Vice-Premier Li Keqiang, amid predictions that China may see a 35-month record high of inflation.

Li said at the Second Global Think Tank Summit in Beijing that China is under heavy inflationary pressure that affects economic development. Keeping consumer prices stable is still the top priority for government this year.

"Inflation is spreading all over the world, and it needs both developed and emerging economies to strengthen coordination when making macroeconomic policies," said Li. "Different countries should work together to fight against globally soaring inflation."

His speech came as many voices predict that the country's Consumer Price Index (CPI), a key gauge of inflation, might exceed 6 percent and hit a 35-month high in June.

He said the nation's consumer prices were rising partly because of imported inflation. Commodity prices of oil, grain and coal in global markets are still rising, which passed on inflationary pressures onto the whole world, especially for emerging economies, said the vice-premier.

"The government will take measures to ensure sufficient supplies of food and energy, to satisfy demand and curb soaring prices," Li said.

According to Li, there is a bumper harvest for summer grain crops this year, and the market supply is adequate. In addition, the government has released some policies to reduce energy waste and improve the efficiency of coal-based electricity supply.

China's inflation hit its highest mark in almost three years of 5.5 percent year-on-year last month. At the same time, its purchasing manager's index (PMI), an indicator of the manufacturing activities, decreased for two consecutive months from April, raising concerns that the world's second largest economy may face a slowdown risk.

In order to tame inflation, some emerging countries raised interest rates in June.

India drove up interest rates by 25 basis points to 7.5 percent on June 16, the tenth hike since March in 2010. Brazil raised its interest rates on June 9 to 12.25 percent, becoming the world's highest.

Meanwhile, the US Federal Reserve announced it would keep low interests rates, between 0 percent and 0.25 percent, for a longer time.

European countries also maintained interests rates at relatively lower levels.

China's central bank is likely to raise the benchmark interest rates by 25 basis points in early July to control inflation, but higher rates may attract more "hot money" inflow, said Zhu Jianfang, the chief economist with CITIC Securities

Li urged the world to improve the global economic governance scheme.

This would include accelerating global financial system reform, promoting the freedom and facilitation of international trade and investment, as well as combating trade and investment protectionism, in order to better balance the global economy's development.

China needs to take part in the global economic governance in order to meet its own development requirement and shoulder responsibilities for global affairs, said Zeng Peiyan, the chairman of China Center for International Economic Exchanges (CCIEE), a government think tank.

Zeng was also a former vice-premier.

"The active participation of China is beneficial to China's economic development, the accelerated recovery of global economy and the lasting peace and common prosperity of the world," said Zeng.