Ma Ming: economist, Beijing Institute of Technology
The surprisingly big cuts in interest rates are due to the exceptionally fast slowing of the economy. Economic growth in the fourth quarter could be very worrying. In the southern and eastern regions, the trend of capital exodus has become rather obvious as the economic growth slows.
The government must prevent financial institutions from incurring large amounts of bad loans as the property market confidence weakens. And certainly today's cuts would not be the last for the year.
