News

Four-day forum defines the development of China till 2020

Working group at the highest level will give new impetus to reforms in the economy and the creation of a government committee to improve security. The creation of these two structures are part of the decisions of the Third Plenum of the Chinese Communist Party. The event was held behind closed doors last four days and determine the evolution of China by 2020.
The decisions of the forum outline the general line, but gave few details. China alone has set deadlines for achieving goals in development - something that does not happen every day in Beijing. The working group for the economy will have direct access to the supreme leadership of the country, which is a request for serious intentions. Security Committee, however, is clearly a reflection of the two attacks on public places in Beijing and the countryside.
At the macroeconomic level the plenum is trying to find a balance between the role of state enterprises and the driving forces of the market economy. However, it was marked that the market will have a "crucial" role but not major like it was till this moment, in the economy. The challenge seems to be the creation of a single market between the big cities and the countryside.
The urbanization expands the field to reorient the economy towards the domestic consumption. Earlier this year, the statistics showed that 51% of Chinese now live in cities. In parallel, the villagers are expected to have more opportunities to own land for cultivation. Another key point is the recognized need that a sustainable social system should be created.
The plenum fits in the tradition such forums to set the tone for a fresh start, but the lack of details gives a reflection on the theme how far the change of the Chinese leadership will reach.