The annual Two Sessions, a major gathering to set the future course of the country, concluded with China rolling out important tasks and strategies.
Emphasising on high-quality development, economic stability, people’s well-being and green innovation, the descendant of the dragon is aiming to build a prosperous and modern socialist nation that is strong in all aspects by 2035.
The week-long meeting of the National People’s Congress and the National Committee of the Chinese People’s Political Consultative Conference from March 4–11 is the most important political agenda in the country’s calendar.
This is where some 5,200-strong lawmakers and political advisory board committees meet to review the country’s performance in the previous year while mapping out goals, tasks and strategies on its road towards sustainable development.
China has displayed a rather brilliant report card for 2020.
Although it fully focused in the fight, control and prevention against the coronavirus in the first quarter of the year, it swiftly recovered to achieve a positive growth.
The world’s second largest economy, which did not set a numeral target at its delayed 2020 Two Sessions, ended the year with 2.3% GDP growth.
For this year, China has set the target of more than 6%, a goal below the expectation of some economists, who predicted the figure to be 8%.
Premier Li Keqiang explained they had taken into consideration the uncertainty in the global economy recovery and other factors.
“Six per cent is not low, ” he said, adding that a fast growth might not be steady and the country was looking at a steady pace to sustain its development in the long run.
As it is the main economic engine for recovery from the pandemic, China’s performance could somehow affect the world.
It will continue to cut taxes and fees while extending the VAT relief policy to ease the burden of businesses with priority given to micro and small enterprises, as well as self-employed individuals.
The country will also cancel port development fees and lower the airlines’ required payments to the civil aviation development fund by an additional 20%.
“A growing Chinese market with rising domestic demand will bring great opportunities for foreign products, services and investment, ” said Li.
In view of the gradual recovery of economy, China has predicted a deficit of 3.57 trillion yuan (RM2.27 trillion) or 3.2%, a drop of 190 billion yuan (RM121bil) compared to last year.
A total of 3.65 trillion yuan (RM2.32 trillion) of special-purpose bonds would be issued.
Highlights of the lianghui, as the event is known in Mandarin, was the 14th Five-year Plan (2021–2025) for National Economic and Social Development, and the country’s Vision 2035.
Known as the country’s development blueprint, the 148-page document spells out targets to control its urban unemployment rate within a 5.5%, increase R&D spending by over 7% yearly, raise urbanisation rate to 65%, lower carbon dioxide emission to 18% and expand forest coverage to 24.1%.
“We will transform the traditional industries with digital technologies.
“Digitalisation will be sped up to create new strengths for the economy as we pursue the Digital China initiative, ” Li revealed while delivering the Report on the Work of the Government.
In addition, China will continue to promote regional economic clusters, including the Beijing-Tianjin-Hebei zone, the Yangtze Economic Belt and the Guangdong-Hong Kong-Macau Greater Bay Area.
The other goals include modernising fiscal, taxation and financial systems, upgrade services to foster a world-class business environment and promote the high-quality development of the Belt and Road Initiative.
China will also implement policies to enhance its public healthcare system, addressing the impact of an ageing population and maintaining an appropriate birth rate.
“Looking to the future, we have the confidence and ability to overcome all obstacles ahead and fulfil the goals in the plan, ” Li noted.
To achieve this, the country must first complete its goals for 2021.
This includes creating over 11 million new urban jobs for 14 million people joining the workforce, including 9.09 million graduates in middle of this year.
On Budget 2021, China has allocated 25 trillion yuan (RM15.91 trillion), an increase of 1.8%, on expenditure in the national general public budget.
The money will be used for employment programmes, improving basic living needs of the people, protecting market entities, healthcare, environmental protection, agriculture and others.
A large portion has been set aside for education (15.3%), social security and employment (13.8%) and public health (7.5%).
On education, a total of 177bil yuan (RM112.66bil) will go to the development of compulsory education in urban and rural areas, 19.8bil yuan (RM12.6bil) on pre-school, 27.7bil yuan (RM17.63bil) on modern vocational education.
Another 66bil yuan (RM42bil) was allocated as financial aid for students at higher learning institutions.
A total of 53.6bil yuan (RM34bil) will be spent on tackling air, water and soil pollutions.
