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China's debt burden limits room for stimulus, economist warns

Original: china

Christophe Barraud, a prominent French economist, says China's high debt burden is restricting the government's ability to roll out fresh economic stimulus. His remarks come as China's economy remains under pressure from weak demand and a prolonged property slump, leaving analysts divided over how much fiscal space Beijing really has to prop up growth.

Why now: China's economy and its policy response are a constant focus for markets, so warnings about limited stimulus capacity are drawing attention.

ChinaChristophe Barraud

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