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News Summary: China urged to curb state industry

GROWTH KEY: A European business group has appealed to China to curb state industry, adding to warnings the government-dominated economy needs sweeping reforms to keep growth high.

DOMINANT MONOPOLIES: Private companies that have flourished under market-style reforms begun in 1979 create most of China's new wealth and jobs. But state companies that benefit from monopolies and access to low-cost loans and resources dominate industries including energy, banking and telecommunications.

URGENT NEED: The European Union Chamber of Commerce in China said that "incremental and piecemeal reforms must give way to urgent and comprehensive reform." Its call comes as a new generation of Communist Party leaders takes power.

Source: http://news.yahoo.com/news-summary-china-urged-curb-state-industry-183748383--finance.html

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