CHINA TO PROCEED THIS YEAR WITH FISCAL AND SOCIAL REFORMS

HONG KONG - Reinforcing expectations that China’s new leadership will press ahead with reforms, the State Council has laid out plans for implementation of planned reforms over he balance of this year. In addition to spurring private investment by streamlining the approvals process, the authorities are emphasising their plans to press ahead with reforms on the financial and fiscal fronts. They have vowed to push ahead with interest rate liberalisation, increase the flexibility of the exchange rate, and further open the capital account by allowing individuals to invest overseas.