China will better allocate resources by balancing the relationship between the government and market, said Han Wenxiu, executive deputy director of the Office of the Financial and Economic Commission of the Communist Party of China (CPC) Central Committee, on Saturday in Beijing.
Speaking at the Annual Conference on China's Economy 2024-2025, Han said that the government will coordinate the relationship between an efficient market and a well-functioning government, lifting restrictions on the market while ensuring effective regulation, said Han.
"What the government should do is to continuously develop a law-based and credit-driven economy, improve market rules, take the lead in following these rules, rectify market failures, maintain fair competition order, build a unified national market, and make the market serve as a big stage for fair competition among all business entities. What the government should not do is to improperly interfere in the activities of microeconomic entities, engage in local protectionism or create a closed cycle in locality," said Han.
The government will make efforts to ensure that idle and inefficiently used land can be put to better use, comprehensively improving the efficiency of resource allocation, according to Han.
"We will continue to push for the replacement of old with new in industrial parks, effectively utilize local government special bonds to replace existing hidden debts and reduce the interest burden. We will make good and full use of local government special bonds and the central bank's re-lending funds to purchase and dispose of the stock of commercial housing. All types of industrial parks should revitalize their existing idle and inefficiently used land," said Han.
China to better allocate resources by balancing gov't-market relationship: official
