Behind the success, however, "resources and the environment, the widening income gap, and social fairness and justice are the major three issues to be dealt with properly in the current reform and opening-up drive," said Chi.

Chinese leaders are clear minded and steadfast that the reform and opening-up drive should speed up.

Last week, President Hu Jintao gave an unusual stress on the significance of reform and opening up. He said, "Today, if we want to resolve the deep-seated problems that constrain China's social and economic development, if we want to realize scientific development, we must unswervingly continue to reform and open up."

Premier Wen Jiabao also vowed to adhere to the reform and opening-up policy.

"We need to unswervingly promote reform in economic and political institutions... Opening up is also a kind of reform, and a nation cannot become strong if it is not open and inclusive," the premier told lawmakers while reporting the work of the government to the annual parliament session last week.

Observers say the planned institutional restructuring of the State Council, or China's cabinet, is part of the reform in the political system.

It is a "major link" in China's continued effort to deepen reform of the political system, said Li Junru, vice-president of the Party School of the Central Committee of the Communist Party of China.

According to the institutional restructuring plan, the government will create or enlarge five ministries, and realign the functions of others, aimed at building an efficient and service-oriented government while curbing waste, abuses of power and corruption.

"The conduct of the government is closely related to the achievements of the reform and opening-up drive," said Chi Fulin.

Since the SARS crisis in 2003, the people has seen more and more clearly that the transformation of government is one of the keys to changes in the mode of economic development, said the scholar.

"Without substantial changes in government functions, the change in the mode of economic development would be very difficult or even unreachable," he added.

It is the expectations of the people that the institutional restructuring could lay a solid foundation for further transformation of government functions and the reform of the country's political system.