Wen determined to meet downturn with stimulus
Friday 13th March 2009, 11:02AM GMT.
Chinese premier Wen Jiabao has said his government has the economic “ammunition” to follow up its stimulus package with further spending.
Speaking at his annual press conference, Mr Wen explained the thinking behind the four trillion yuan (£0.4 trillion) two-year economic stimulus package.
“The most direct, powerful and effective way to deal with the current financial crisis is to increase fiscal spending – the quicker the better,” he said.
“We have prepared enough ammunition and we can launch new economic stimulus policies at any time.”
China hopes to avoid its annual economic growth slipping below eight per cent. Its ruling Communist party fears social unrest which could destabilise its power base if this occurs.
Mr Wen admitted he had “doubts” about China’s heavy investment in US government debt, but backed Barack Obama’s own stimulus package as the best method to bring about a recovery from the current global downturn.
Global markets have responded positively to the suggestion Beijing is prepared to spend its way out of current difficulties.
Shropshire Star on Twitter
Keep updated with the latest breaking news and content on our Twitter feed.
Lifestyle
Interactive Dining Out map
Hundreds of reviews by the Shropshire Star and Express & Star's teams to help you decide where to eat.
Entertainment
All the film reviews
Before you plan a trip to the pictures, get our critics' verdicts on all the latest movie releases.
OUR NEW APP
Get the new Shropshire Star app
Download the Shropshire Star’s new app to your iPad or iPhone to get one week of access to our digital newspapers absolutely FREE.
shropshirestar.com
Popular sections
Useful links
