Boost to market confidence, growth mom8k8 discountentum

China's recent decision to deepen economic structural reforms will significantly boost market confidence, revive growth momentum, and facilitate the country's sustainable and high-quality development in the next few years, said officials, experts and entrepreneurs.

They estimated that China's economic activity will likely continue to pick up in the remainder of the year, driven by reforms to tackle structural issues, improvement in domestic demand, resilient manufacturing activity and stimulus policy measures.

They, however, warned the economy is still facing challenges from ongoing disinflationary pressures, still-weak consumer confidence, and potential risks in local government debt and the real estate sector. Therefore, more efforts are needed to consolidate the foundation of the ongoing economic recovery, they said.

Their comments came after the recently concluded third plenary session of the 20th Central Committee of the Communist Party of China adopted a resolution on further deepening reform in a comprehensive fashion to advance Chinese modernization.

Li Daokui, director of Tsinghua University's Academic Center for Chinese Economic Practice and Thinking, said as the country is set to roll out a slew of reform measures in the remainder of the year, it is on track for a steady recovery this year.

"Economic reforms in real estate, local government debt and initiatives to promote consumption and enhance social welfare are the three aspects that concern me the most," said Li. "These economic reform measures are soon set to become new drivers of economic development."