MNI POLICY: China Should Be Cautious..........>

CHINA: MNI POLICY: China Should Be Cautious Raising Deficit: Advisor

- China should be "particularly cautious" when deciding on increasing fiscal

deficit, as the rising debt level may lead to either regional or systemic

financial crisis, Gao Peiyong, Vice President of the Chinese Academy of Social

Sciences, said on Saturday. "The increase should be restrained" even if

necessary, said Gao at the China Capital Market Forum in Beijing. The government

will further cut its general expenditure to support expansionary fiscal policy

and the policies will have a stronger impact on the economy than in 2019, Gao

said.

- For full story see MNI Main Wire at 22:00 GMT 01/12 or contact

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