China Must Promote Structural Reforms To Lift Growth

China must promote structural reforms especially those that can bring short-term expansionary effects to boost economic growth, as macro policies mainly play a stabilising role, said Liu Shijin, member of the monetary policy committee at the central bank. Liu estimates that the impact of macro policies on GDP is about 1 percentage point, while the remaining 4 percentage points depend on technical conditions and the institutional environment. Liu specified that accelerating urban-rural integration to allow migrant workers to settle in cities and enjoy basic urban public services will help expand consumption of middle- and low-income groups. (Source: Quanshang China)