Govt wealth seen as key to boosting consumption

China's ongoing efforts to boost consumption can be significantly enhanced if the government's substantial wealth and assets are mobilized to support household incomes and social welfare, leading economists said.

Liu Shijin, former deputy director of the Development Research Center of the State Council and a prominent economist, said that a relatively high share of State-owned equity in social wealth could be a key factor behind the country's insufficient consumption.

Liu explained that such an equity is primarily reinvested to generate new capital, rather than being spent to stimulate consumption.