Reform aims to realign relationship between the government and the market by reducing the scale of administration

The State Council said early this year that about 70 percent of all the approval items have been eliminated or transferred to local governments, and last month it announced that it will remove or devolve to local governments another 71 administrative approval items.

In October, the central government removed 171 items of administrative examination and approval and transferred another 117 items to local governments. Such moves are in line with ongoing institutional reform and therefore should be encouraged.