China state-owned companies to 'ride reform wave'

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By Euronews
China state-owned companies to 'ride reform wave'

China has set out details of how it intends to restructure its state-owned enterprises (SOEs), as more evidence emerges of the slowdown in the world’s second largest economy.

The new government guidelines as reported by the official Xinhua news agency include plans for partial privatisation, introducing “mixed ownership” by bringing in private investment.

Xinhua tweeted that Chinese companies would “ride new reform wave” in a bid to reinvigorate the whole economy.

It comes as new data revealed growth in investment and factory output missed forecasts in August.

Earlier trade and inflation figures were disappointing too, and some economists fear growth is worse than the official data suggests.

Stock markets have fallen and it’s thought China’s central bank will have to continue cutting interest rates.