Caixin (July 3) reported that over the past few weeks, provincial education departments have issued orders to reduce the presence of private players in primary and middle schools and cut the percentage of children enrolled in private school to just 5% within two to three years. According to China's Ministry of Education, the private sector provided compulsory education services to around 10% of Chinese students in 2019. The new plan will involve setting up many more primary and middle schools to accommodate 7-8 million students, which will cost the government billions of Yuans.

(Comment: Caixin suggested that the move is more political than economic as compulsory education is a critical channel for inculcating youngsters with patriotic ideals and loyalty to the Party.)