China govt advisor warns China faces unprecedented debt crisis (Barcelona) - The ecent comments by China's Finance Minister Mr. Lou warning the country's growth may fall well below 7% are absurd, says Xia Bin, an economist with the State Council's Development Research Center and government advisor.

Bin argues the economy is already immersed in an unprecedented financial crisis which may get worse before it gets better unless the government implements further measures to address tantamount levels of debt.

MNI Beijing Bureau reports on Bin's quotes over the weekend: "Beijing needs to stop using bland rhetoric about stabilizing the economy and focus on tackling a debt burden whose interest payments alone tally nearly CNY6 trillion a year."

MNI adds, quoting Bin, "We need to find ways to let the bubble burst and write off the losses we already have as soon as possible to avoid an even bigger crisis." Lastly, Bin said "Deep adjustment means economic growth slows as costs are paid, it means hard days, it means the bankruptcy of some companies and financial institutions and it means reform."