Financial Times FT.com

Top Chinese official warns on downturn

By Geoff Dyer in Beijing

Published: November 27 2008 16:48 | Last updated: November 27 2008 16:48

The downturn in the Chinese economy accelerated over the past month and could lead to high unemployment and social unrest, the country’s top economic planner warned on Thursday.

Zhang Ping, chairman of the National Development and Reform Commission, said the government needed to take “forceful” measures to limit the slowdown in the economy, which included Wednesday’s large cut in interest rates and a sharp increase in fiscal spending. The rate cut was the fourth since September.

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