The report takes as its point of departure the conviction that China’s urbanization can become more efficient, inclusive, and sus-tainable. However, it stresses that achieving this vision will require strong support from both government and the markets for policy reforms in a number of areas. The report also provides recommendations on the timing and sequencing of reforms. It stresses the need to first implement reforms related to land, fiscal, and public service systems. Doing so will facilitate China’s transition to higher-quality economic growth.