China says economy 'stable,' rejects Fitch Ratings downgrade of its fiscal outlook

China's Finance Ministry has denounced a report by Fitch Ratings that kept its sovereign debt rated at A+ but downgraded its outlook to negative. The ministry said in a statement that China's deficit is at a moderate and reasonable level and risks are under control as Beijing resolves mounting local and regional government debts. Fitch cited rising risks to China's public finances as the communist-ruled country shifts away from heavy reliance on its troubled property industry to drive economic growth. It said that slower growth is adding to the challenges of coping with heavy borrowing. But it said China's A+ rating was based on its large and diversified economy.