China Should Increase Policy Intensity To Stabilise Growth - Guan Tao

China should increase counter-cyclical policies and cross-cyclical polices - which link short and long-term growth - through the rest of this year and into next year to consolidate the momentum of economic recovery, wrote Guan Tao, a former foreign exchange official and now chief economist of BOC International in an article published by Yicai.com. China should strengthen prudent monetary policy, which not only includes cuts to reserve requirement ratio and interest rates, but further streamlining of the policy transmission mechanism to promote lower financing costs for the real economy, as well as the use of structural tools to strengthen support for industries affected by the epidemic, said Guan.