Recovery Lacks Stability, More Property Support Needed

China's economic recovery lacks stability as the external environment is more complex than last year and confidence among firms and consumers is down, according to Lian Ping, chairman of the China Chief Economist Forum. Speaking at a recent conference, Lian said Federal Reserve interest rate hikes, the Ukraine crisis and instability in the international banking sector is adding to a difficult environment. More needs to be done to support China's real estate sector and to help employment. With more government spending this year, monetary policy should ensure sufficient liquidity to keep the cost of treasury bonds and local special bonds at a low level, he said.