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China to "reasonably" set limit on new local govt debt in 2016

[BEIJING] China will "reasonably" set limits on new local government debt in 2016 and in the coming years, the country's Finance Minister Lou Jiwei said at a work conference in Beijing on Monday.

China will adopt a more flexible fiscal policy including gradually increasing fiscal deficit ratio and expanding its budget deficit, Lou was quoted as saying in a statement published on its website.

He added that the government would cut taxes to help companies reduce their burdens.

The conference reiterated policy priorities and main economic targets that were discussed at the recent annual Central Economic Work Conference.