Chinese Stimulus Insufficient to Curb Deflation Risks, IMF Says

China’s recent barrage of fiscal measures fall short of what’s needed to address deflationary risks plaguing the world’s second-largest economy, according to one senior International Monetary Fund official.

While recent policies, in principle, could boost the IMF’s forecast of 4.8% growth for China this year, the central government “has to spend” more to address the property crash and ease price pressures, according to Krishna Srinivasan, the organization’s Asia-Pacific department chief.