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China's newly appointed Premier Li Keqiang delivered several very strong messages on the government's determination to push forward market-oriented reforms at the press conference post the National People's Conference today. The following are three highlights from his remarks, which differentiate him from the previous administration:

First, Li Keqiang stressed that the new government would reduce the number of administrative approval rights of the State Council and its departments by at least one-third. This is the first time the Chinese government has ever announced a quantifiable objective of reducing government intervention in the economy.

Second, Li Keqiang promised that the number of government employees would only decline (not rise), the government would not construct any new office buildings, and budgetary expenditure on officials' consumption (including overseas travels, and cars for official use) would only decline (not rise) during the next five years. These statements demonstrate a clear intention of the new premier to downsize the government via budgetary reforms.

Third, in addressing the issue of corruption, Li Keqiang stated that "those who have become public officials should forget about becoming rich." He also signaled that the new generation of leaders will be more willing to scrutinized by the society and the press.

In sum, Li Keqiang's press conference delivered more concrete messages than what we had expected on the new government's commitment to reforms and to curbing corruption. It should help support market confidence in China's medium-term economic outlook and political stability, in our view.

• [Editor:editor]