China is stepping up its monetary and fiscal measures to stimulate the economy. But how great are the risks? A January 2015 Deutsche Bank report states that ‘China will likely face the worst fiscal challenge since 1981’ as fast-falling land sales - long the lifeblood of fiscal revenue - result in local government income contracting by two per cent. GIS guest expert Cameron Frecklington looks at the figures against a background of increased military spending and looming social issues.

CHINA’S golden years of economic expansion are now firmly behind it, with its GDP growth falling to seven per cent in the first...

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 Cameron Frecklington
It would appear that the Chinese government has decided that short-term economic growth is more important than shoring up its financial system and reining in debt
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