CHINA will keep its economy on a stable and healthy development track with a proactive fiscal policy and prudent monetary policy in the second half of 2018, according to a meeting of the Political Bureau of the Communist Party of China (CPC) Central Committee on Tuesday.

The meeting, presided over by Xi Jinping, general secretary of the CPC Central Committee, stressed that China will maintain the basic tone of “seeking progress while maintaining stability” for its economic work and allow the economy to continue to perform within a reasonable range.

China’s economy has maintained steady growth with good momentum in the first half of the year, according to the statement.

However, the economy still faces some new challenges and the external environment has changed notably. The nation should roll out targeted measures to solve the key problems.

Fiscal policy should play a bigger role in expanding domestic demand and structural adjustments. China will maintain control over the floodgates of monetary supply and keep liquidity at a reasonable and ample level.

Efforts should be made to keep employment, the financial sector, foreign trade, foreign and domestic investments, and expectations stable.

The legitimate rights of foreign-funded companies in China will be protected, according to the statement.

The country should take strengthening areas of weakness as an important task in deepening supply-side structural reform, with efforts to be intensified in improving infrastructure.

Work should also be done to improve innovation capability, develop new engines of growth, eliminate institutional barriers for cutting excessive capacity, and lower costs for companies.

The strategy of rural revitalization should be well implemented.

“China must better combine the task of forestalling and defusing financial risks with serving the real economy,” the statement said. To that end, the country should stand firm on reducing the leverage ratio, ensure the proper policy intensity and tempo, and coordinate the timing of unveiling new policies.

The meeting called for pressing ahead with reform and opening up and continuing to roll out major effective reform measures. Major policies of expanding opening up and significantly relaxing market access should be implemented, and the joint construction of the Belt and Road should be advanced in depth.

The meeting stressed that the problems in the property market must be resolved properly. Market expectations should be properly guided and the market order should be regulated to firmly curb the rise in home prices. The establishment of a long-term mechanism to promote the stable and healthy development of the property market should be accelerated.

Efforts should be made to improve people’s lives and ensure social stability, according to the statement.   (Xinhua)