The continuing reforms to the hukou system since 2014 have been the most important, and will continue to be key to driving economic growth in China. Urbanization is a crucial driver of growth, and empowering rural migrants is central to boosting consumption in China. China’s urbanization levels are more than 25 percentage points lower than the average for developed economies, so the potential for further urbanization remains significant. Anything the government can do to boost urbanization and lessen urban and rural inequality is good for the economy.
-- Sarah Boumphrey, head of strategic, economic and consumer insight at Euromonitor International, a London-based market intelligence firm