Experts say China should ward off risks from a loosening monetary environment around the world while boosting private investment.
Zhang Yansheng, president of academic comm., NDRC, said, "Big nations seldom adopt proactive fiscal policies. We've seen most nations are loosening, with five countries lowered their rate to negative. Most countries hope to transfer their problem outside their country, so under such circumstances, China must be a responsible big nation, and grasp the opportunity to hedge its risks. Meanwhile China should push forward the vital supply-side-reform for the next five to eight years."
Xiang Songzuo, chief economist of agricultural bank of China, said, "Our main problem is the lack of confidence in private investment. Why did private investment only grow 2.8 percent in the first half of this year? That dropped more than 7 percentage points from the over 10 percent seen last year. Obviously, confidence has come down. Therefore I believe we should maintain the strength of our strategy to boost confidence in private investment."