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Introduction: China faces challenges of reform

The rapid economic growth seen in the People's Republic of China in 2003 will slow this year, but will still probably outpace the government's target. Concerned at patches of economic overheating and unbalanced socio-economic development, the government has taken steps to control credit expansion and is emphasizing a more balanced approach, with help for rural areas. But the country faces many challenges, including a weak banking system, state enterprise reform, job creation and poverty reduction

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