New directions for China in 2009

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    clpstaff &clp articles

    China is making dramatic policy shifts as it seeks to stimulate the economy and help businesses make money, while keeping unemployment low and staving off social unrest.

    China is making dramatic policy shifts as it seeks to stimulate the economy and help businesses make money, while keeping unemployment low and staving off social unrest. Reversing a long running trend of close control to prevent runaway growth, it has acted to revise key laws and regulations, and promised to provide vast amounts of money to boost growth.

    And it's done it quickly, too. Only two months after the collapse of Lehman Brothers, the government announced a Rmb4 trillion (US$570 billion) stimulus package to finance programmes in 10 areas; by December, the State Council had laid out a 30-point plan and promised to increase its money supply
    by 17%.

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