China's cabinet approves guidelines to promote economic system reforms

The State Council, or China's Cabinet, on Thursday approved guidelines tailored to promote the country's economic system reforms in 2010, in a bid to build more flexible systems to keep pace with the fast economic growth in the nation.

China will continue to encourage the non-public sectors of the economy, reducing institutional obstacles for private investment and improving supportive policies for the development of the small and medium-sized enterprises, according to the guidelines adopted at an executive meeting of the State Council, presided over by Premier Wen Jiabao.

The government will deepen reforms of the state-owned companies and monopolistic industries, with focuses on power generation, railway, and postal service sectors.

Also, it will further improve the financial system, strengthen monitoring on the financial sectors, and speed up improvements to the underdeveloped rural financial systems.

More efforts would be made to perfect the income distribution and social security systems, enhancing the construction of the pension, medical treatment and educational mechanisms in both urban and rural areas, according to the guidelines.

Source:Xinhua