China curbs industrial investment

By Daily Maverick Legacy 30 September 2009

Investment in China’s steelmaking and cement industries, amongst others, is to be drastically cut back following fears that overheating may result in job losses and banking problems. According to economists, Beijing’s stimulus plans are laying the foundation for a treacherous boom-and-bust cycle. The governmental order, announced on Wednesday, will see new aluminum projects banned for three years, with regulators placing a limit on spending at a range of factories. The Chinese government hopes to tweak economic policy in such a way that growth is secured while unnecessary investment is held in check. The large Chinese business community has been waiting anxiously for details of the new policy since August, and many business leaders remain worried that the measures will adversely affect profits.

Gallery

While we have your attention...

An increasingly rare commodity, quality independent journalism costs money - though not nearly as much as its absence.

Every article, every day, is our contribution to Defending Truth in South Africa. If you would like to join us on this mission, you could do much worse than support Daily Maverick's quest by becoming a Maverick Insider.

Click here to become a Maverick Insider and get a closer look at the Truth.


TRUMP’S UN BLUSTER

US president’s vow to drop countries that are ‘not our friends’ threatens US aid to SA

By Peter Fabricius

"We spend the first year of a child's life teaching it to walk and talk and the rest of its life to shut up and sit down. There's something wrong there." ~ Neil deGrasse Tyson