China Slide Toward Debt-Deflation Trap Needs 5-Year Plan Fix

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  • Structural overcapacity risks overpowering cyclical fixes
  • Need to close 'zombie' companies, unleash new growth drivers

HSBC's Zhu Sees One More Rate Cut from China This Year

As China’s Communist Party leaders began rolling out a blueprint last week to manage a transition to more balanced growth over the next five years, they confront the immediate task of halting the economy’s slide toward a debt-deflation trap.

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