"High-quality development is the top mission of building a modern socialist country" - Xinhua News Agency informed after the 3rd Plenum of the 20th Central Committee of the Communist Party of China took place in 4 days, from July 15.
This development strategy focuses on China's ambition to advance its value chain through technological innovation and become more resilient to external fluctuations.
"Continuing to emphasize high-quality growth means there is room to accept a period of modest growth," said Becky Liu, head of China macro strategy at Standard Chartered. .
Bloomberg said that Chinese officials often issue a more detailed report, which often contains broader policy changes within a few days after the 3rd Plenum.
Specific measures following the contents of this document are likely to be announced later this month after the Politburo meeting at the end of July focusing on economic issues.
Briefly revealing this document on July 19, Mr. Han Wenxiu - an official of the Office of the Central Economic and Financial Commission of China - said that the financial resources of local governments will be increased while tax sources will be increased. also expanded.
“The share of central fiscal spending will increase” in total government spending, and authorities will study corresponding tax regulations for new sectors.
In the announcement, Chinese officials listed "actively expanding domestic demand" on the to-do list in the short term. Officials also reaffirmed their determination to achieve this year's economic and social goals, including an annual growth target of about 5%.
According to Macquarie Group economists, this is the third time in three decades that short-term economic goals have been mentioned by China at the Third Plenum of the Communist Party of China. The two previous mentions were in 1998 and 2008 when economic growth was "under severe pressure".
Other priorities at the conference include creating an improved system for setting macroeconomic policies that can serve as a basis to avoid policy tightening affecting the education and public sectors. technology like in recent years.
The conference also announced plans to strengthen science and technology reform, promote new driving forces in foreign trade, deeply reform the financial and tax system, reform education, technology and the "system of national talent development.
Mr. Alfredo Montufar-Helu - head of the China Center at The Conference Board - commented that the announcement covers wide areas, from economics to political and social issues, reflecting the challenges complications that China is facing.
Military modernization is considered a top priority in the document. Officials also said that capable Chinese private companies will be supported to pioneer technological breakthroughs.
