CHINESE PREMIER LI QIANG delivered a dramatic vision of the future, with China moving steadily into whole new worlds of bio-manufacturing, quantum technology, embodied AI, 6G communications and other future industries.
But he also admitted that the present period was genuinely challenging for the whole world, with China no exception.
Still, the Chinese leader was upbeat, as he delivered his work report last week. The growth target for the year ahead will again be set at about 5 percent.
IMPRESSIVE GROWTH
Last year was a difficult year for many reasons, but China’s GDP grew an impressive 5 percent, to 134.9 trillion yuan, the report showed. This year’s international situation is even more complex, with even higher levels of uncertainty—but the GDP growth target is again being set at about 5%, reflecting the country’s confidence in stabilizing the economy and creating further growth.
The key issues remained largely constant. They include: people’s livelihood, education, food security, environmental protection, workers’ rights, technology, future industries, sports, poverty alleviation, housing, national security, the development of a spiritual civilization, and civic moral construction.
EXCITING TECH ADVANCES
However, there are changes on the horizon. Strategically, China will be dedicated to developing new quality productive forces through regulation, investment and education. This means that the country will invest in biomanufacturing, quantum technology, embodied AI, 6G communications, intelligent connected new-energy vehicles, AI-enabled phones and computers, and smart robots.
But while consumer-facing technology items get the headlines, China is also focusing on macro-economic elements too. The Premier said the country will also boost the safe development of commercial space, the low-altitude economy, and other emerging industries. In addition, incentives for eco-friendly consumption will be boosted to further encourage people to adopt, green, low-carbon practices at work and at home.
INITIATIVES TO BOOST DEMAND
General economic issues have been difficult, with spending levels low. To deal with this, China will increase government investment and launch special initiatives to boost consumption and stimulate domestic demand across the board.
This will cost money, so the government has set the deficit-to-GDP ratio for this year at around 4%. That involves a plan to invest 735 billion yuan of the central budget. To support large state-owned commercial banks and consumer goods trade-in programs, special government bonds worth 500 billion yuan and 300 billion yuan in ultra-long-term special government bonds will be arranged respectively.
MORE SCHOOL PLACES
As talent plays a key role in building China into a prosperous and harmonious modern power, the country will increase the supply of senior secondary school places and promote free preschool education in a phased way to enhance the creativity of the people.
Furthermore, China will accelerate the establishment of a skills-oriented pay distribution system, ensuring that those who work more will earn more, as will those with higher level skills, and those who innovate.
The government will open internet-related, cultural, and other sectors in a well-regulated way and expand trials to various sectors, including telecommunications, medical services, and education.
Meanwhile, the government realizes that people’s peace of mind is crucial. So it will work to try to ensure that people feel that they are achieving something, that they are generally happy, and that society feels safe.
HOUSING AND HEALTH
For housing, the government will continue efforts to stem the downturn and restore stability in the real estate market with multiple measures. The government will redevelop urban villages and renovate old and dilapidated houses while facilitating the purchase of commodity housing stock and ensuring timely delivery of housing projects.
For public health, the government will refine the policy for centralized medicine procurement and enhance quality evaluations and oversight to boost patients’ confidence.
LIVING IN A COMPLEX PERIOD
It’s clear that 2024 was an extraordinary year. Our country faced a complex international situation and yet has overcome various difficulties. We adhere to the principle of valuing peace and have made significant contributions to promoting global peace and development. China alone accounted for 30 percent of global economic growth.
Although domestic demand remains weak, under the ruling party’s leadership, economic growth has still reached 5%, which is commendable. We have achieved exceptional results in technology, innovation, culture, and sports, proving the value of our system.
This can provide a level of confidence that the country will achieve the goals and tasks in the 14th Five-Year Plan successfully and effectively.
MENTIONS OF HONG KONG
The report mentions “Hong Kong” three times and emphasizes the continued implementation of the key principles, such as “One Country, Two Systems,” “Hong Kong people governing Hong Kong,” and “Macau people governing Macau”.
In return, Hong Kong and Macau will work to benefit the country as a whole.
Hong Kong in particular is expected to contribute to the country’s needs, acting as “super connector” and “super value creator”. To turn Hong Kong into an even more attractive and friendly business environment, the cit will need to generate more opportunities in the Guangdong-Hong Kong-Macao Greater Bay Area.
There are good prospects too in the Belt and Road Initiative, which can connect the China market with international markets and establish international standards and rules.
TRIUMPH OF LAST YEAR
The triumph of last year will enable the country to lay a solid foundation for a good start to meet its main targets in 2025 to ensure the country’s healthy and sustainable development, promote social harmony and stability, Chinese analysts said.
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Image at the top by China News Service.