Beijing – European Union Chamber of Commerce in China says China needs to accelerate its reforms to stop the slide in its economic growth.
“The economy is slowing, and promised reforms are taking too long to implement,” the chamber’s president, Joerg Wuttke said on Tuesday in Beijing.
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The yearly increase in Gross Domestic Product (GDP) has slowed to around 7 per cent, cooling the enthusiasm of many foreign investing companies.
“It’s not the end of the world for us,” Wuttke said, ahead of the release of the chamber’s annual position paper, European Business in China.
“One of the most urgent problems was the high level of China’s debt,” he said.
The country’s total debt is estimated at 282 per cent of GDP, according to financial consultants McKinsey.
“Around a fifth of the debt is held by government bodies, and nearly a quarter by financial institutions, with 44 per cent by non-financial corporations, and the remaining 13 per cent by households, ‘’Wuttke said. (dpa/NAN)