Premier Li Keqiang said on March 4 that the government will make efforts to withstand the downward pressure by inspiring market vitality.

He made the remarks at a panel discussion with advisers from the China Democratic National Construction Association and the All-China Federation of Industry and Commerce  who attended the second session of the 13th National Committee of the Chinese People’s Political Consultative Conference (CPPCC), the country’s top political advisory body.

Facing downward pressure, Premier Li said, one way is to broaden monetary policies combined with stronger fiscal stimulation, which could see quick results but result in long-term side effects.

“Instead, we will use more innovative macro-control, by implementing tax and fee reductions, which can benefit market players, especially private enterprises, and small and micro businesses,” the Premier said.

Meanwhile, government expenditures have been cut further, creating more room for tax reductions, he added.