When Premier Wen
Jiabao mapped out the country's development plan for the next
five years, it marked the beginning of an entirely new phase in
China's growth.
The most important feature is the shifting of focus from the
speed of growth so far driven by huge investment in manufacturing
and urban infrastructure as well as exports to a stress on
sustainability based on rural development and various social
programmes.
Annual GDP growth is set at 7.5 percent during 2006-2010, two
percentage points lower than the average during the 2000-2005
period.
Per capita GDP in 2010 will be double the 2000 figure, the
premier told National People's Congress deputies while presenting
the
11th Five-Year (2006-10) Social and Economic Development
Guidelines. The plan will be discussed by NPC deputies today
and tomorrow before voting.
The orientation of the plan indicates that the government has
clearly recognized the problems with the model of growth China has
been following since economic reforms were launched in 1978.
China has relied largely on manufacturing low value-added
products for other countries, using its land, natural resources and
labour.
But because of strain on these factors of production, the
country has decided to optimize the structure of growth, improve
efficiency and decrease energy consumption in future
development.
Despite the proposed slowdown in economic development pace,
China's highest leadership has pledged to improve the lot of rural
residents by launching a "new socialist countryside drive" to
benefit the 750 million farmers.
The development of agriculture and rural areas is of great
significance for China, the draft plan says.
"Only when the problems relating to agriculture, rural areas and
farmers have been solved can China's economy develop in the right
direction."
The problems hindering the development of agriculture and rural
areas are slow growth in farmers' income and poor socio-economic
conditions.
To build China into a generally well-off society and accelerate
its modernization process, "the most arduous task rests in the
countryside," the draft plan was cited.
Plan drafters said it would take decades before a new socialist
countryside turns into reality. To achieve the goals, the golden
rule is to "give more to, and take less from, the countryside."
(China Daily March 4, 2006)