China cooling its economy

[dArKeR]

China may be succeeding in its attempt to cool its overheating economy and avoid a hard landing, analysts said after the release of key figures for last month's national performance.

Financial institutions extended 61.6 billion yuan (US$7.4 billion) in new loans in October, a decline of 14.6 percent from the same month a year earlier, and the first year-on-year monthly drop this year.

"It indicates that credit tightening is really working," said Chen Xindong, chief economist at BNP Paribas in Beijing.

"Even if corporate liquidity doesn't feel like it is tightening, it will do in the coming months," he said.

http://www.taipeitimes.com/News/biz/archives/2003/11/17/2003076230