MNI China Press Digest, April 23:Policy Meeting, Market Reform

     BEIJING (MNI) - The following lists highlights from Chinese press reports

on Tuesday:

     China should strengthen the countercyclical adjustment of macroeconomic

policies while keeping fiscal policies more proactive and monetary policy

"neither too tight nor too loose," according to the fourth meeting of the

Central Financial and Economic Affairs Commission, a top policy planner, Xinhua

News Agency reported. Policies should be timely adjusted and fine-tuned based on

changes in economic growth and inflation, Xinhua cited the commission as saying.

     China's capital market is expected to receive more systemic innovation,

including improvement in the quality of listed companies and the trading system,

more medium- and long-term funds, the issuance of credit bonds and the

establishment of a market-based default mechanism, said the PBOC-run newspaper

Financial News today. The better-than-expected Q1 economic performance shows

downward pressure on the economy has eased, so policymakers may give more

emphasis to reforms, the newspaper said.

     Rising sales and prices in China's property markets are unlikely to be

sustained as policymakers has reiterated the crackdown on housing speculation

with no prospect for easing housing regulation, said the Securities Times in a

commentary today. Monetary policy is less likely to be further relaxed as

economic indicators pointed to a better-than-expected recovery, so the liquidity

for the housing market remains tight, the newspaper said.

--MNI Beijing Bureau; +86 (10) 8532-5998; email: wanxia.lin@marketnews.com

--MNI Beijing Bureau; +86 10 8532 5998; email: william.bi@mni-news.com

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