China disappointed with Moody's downgrading economic outlook

By Alperen Aktas

ISTANBUL (AA) - China on Tuesday expressed disappointment after Moody's lowered forecast of the world's second-largest economy.

The country's Finance Ministry said the Chinese economy was expected to "maintain a positive trend in the fourth quarter, and China will remain an important engine for stable growth of the world economy."

Moody's revised the outlook for China's sovereign bonds to negative from stable, maintaining a long-term A1 rating.

However, the ministry said: "Moody's concerns about China's economic growth prospects, fiscal sustainability and other aspects are unnecessary."

The grading agency cited potential economic risks arising from China's reliance on fiscal stimulus for local government support and the escalating challenges in the property market.