The Communist Party spent four days discussing the course of the second largest economy. At the end of the day, there was hardly anything concrete. But one thing is clear: China is to become a high-tech power.
China’s Communist Party wants to push ahead with the modernization of the second largest economy. “High-quality development” is the most important task in creating a “modern socialist country,” said a statement by the party’s Central Committee at the end of the so-called Third Plenum. This meeting usually only takes place every five years. The party leadership discusses the future economic course at the meeting.
As usual, the statement at the end of the four-day meeting was initially just a summary in party language. Concrete measures resulting from the meeting are only likely to become clear in the coming weeks and months.
“New productive forces” are invoked
However, observers’ expectations were fulfilled that President Xi Jinping would also use the meeting to underline the efforts to make China a high-tech power. Specifically, the Central Committee’s report spoke of further promoting the “new production forces”.
The term coined by the head of state and party is about promoting economic development through the creation of modern industries. However, the Central Committee also addressed acute economic problems. For example, “various measures” were promised to defuse risks on the real estate market and to reduce the high debts of local governments.
Economy faces major challenges
In addition, discipline is to be strengthened and the fight against corruption intensified. The tasks outlined at the party meeting are to be completed by 2029, the 80th anniversary of the founding of the People’s Republic of China.
Beijing is under pressure to respond to the increasing problems of the second largest economy. Consumption is stagnating because many Chinese prefer to save their money for uncertain times. Many families are particularly worried about the ongoing crisis on the real estate market. Young people in particular are also having difficulty finding work.
Source: Stern
