Easing social controls can put the Chinese economy back on right track

Measures announced by China’s Ministry of Public Security will allow freer movement of people and goods, and boost the confidence of foreigners seeking to invest and do business in the country

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New policies announced by China’s Ministry of Public Security include making it easier for many rural residents or migrant workers to settle in big cities. Photo: Reuters

SCMP Editorial

Editorials represent the views of the South China Morning Post on the issues of the day.

Published: 11:07pm, 3 Aug 2023

China is undoubtedly at a crossroads, having weathered one of the most severe public health and economic crises of recent times. With the need to prevent a resurgence of Covid-19 and a desire to boost economic recovery both high on the agenda, a fine balance must be struck.

This is reflected in the Ministry of Public Security’s announcement on 26 new policies and measures seeking to relax social controls.

For instance, there will be initiatives to facilitate rural residents or migrant workers who do not have proper household registration to settle in big cities. This can help stabilise the property market and create jobs.

Separately, licence requirements for small business are to be simplified or streamlined. This can reduce business costs and operational burden.

New policies introduced by China’s Ministry of Public Security include enhancing entry convenience for foreign businesspeople. Frequent business travellers will be issued multiple entry visas valid for three years, according to the announcement. Photo: AFP

It will also drive economic growth, as small businesses are important for job creation and consumption.

Another welcome step is the enhanced entry convenience for foreign businesspeople. A visa on arrival will be granted to those who have proper documents and a letter of invitation.