On the 17th, Chinese Premier Li Qiang stated at a State Council plenary meeting that the problem of “insufficient domestic demand in the economy remains prominent” in China. He emphasized the need to adhere to expanding domestic demand, further strengthen the domestic economic cycle, fully unleash the potential of domestic demand, and promptly introduce pragmatic and effective incremental policies.
According to Xinhua News Agency, Li Qiang presided over the twelfth plenary meeting of the State Council that day. Li Qiang said that China’s economy is showing a development trend of “momentum moving towards new drivers and the structure improving”; “At the same time, it should be noted that the problem of insufficient domestic demand remains prominent, and difficulties facing some industries and enterprises have increased”; efforts should be made to fully leverage existing policies, promptly plan and introduce pragmatic and effective incremental policies, address all kinds of bottlenecks and blockages, and promote the economy to continue to move toward new, better, and more favorable development.
Li Qiang stated that this year marks the first year of implementing the “15th Five-Year Plan,” and efforts should be made from the outset to promote the implementation of the plan on the ground, focus on the construction of major engineering projects, and ensure the plan plays a leading and driving role in various fields of work. Efforts must be made to maintain stable economic operation, adhere to expanding domestic demand as a strategic foundation, focus on the main contradictions and problems, “continuously invest efforts in certain long-chain and large-scale sectors, further strengthen the domestic economic cycle, and fully unleash the potential of domestic demand.”
He said it is necessary to accelerate the implementation of the “Six Networks” (water network, new-type power grid, computing network, new-generation communication network, urban underground pipeline network, logistics network) construction implementation plan, and innovate financing mechanisms to attract private capital. Coordination in promoting investment in people and stimulating consumption, as well as increasing the tilt of policy resources, is needed. Accelerate the use of various categories of policy funds to generate tangible workloads as soon as possible. “Vigorously promote private investment, and provide more support to investments in emerging fields, new infrastructure, and consumption upgrades.”
● Expand mutually beneficial international economic and trade cooperation space
Li Qiang also said that it is necessary to actively and steadily stabilize external demand, expand the space for mutually beneficial international economic and trade cooperation, and promote balanced trade development. It is necessary to strengthen technological empowerment, accelerate the transformation of old and new growth drivers, increase support for emerging pillar industries and future industries, and continuously promote the transformation and upgrading of traditional industries, thereby solidifying the foundation of the real economy.