From 1984 to 2001, the Central Government convened four special meetings on the work relating to Tibet, adopting a series of preferential policies and measures to deal with prominent problems hindering the development of Tibet.

Since 1984 the State carries out in Tibet a policy of achieving recovery. "Land is used by each household and run independently with no change in the long term." "Livestock is owned by each household and raised independently with no change in the long term." The farming and pastoral taxes for farmers and herder are exempted; the industrial and commercial taxes for collective and private industrial and commercial enterprises that deal with national necessities are exempted. All farming, pastoral and side products and handicrafts sold and exchanged in the market by farmers and herders, personally or collectively, will not be taxed. Agricultural and animal husbandry taxes not collected in the period between 1984 and 2004 amounted to 250 Yuan.

In 2001 the CPC Central Committee and the State Council held the fourth national conference on work in Tibet, deciding that the State would continue to implement preferential policies in Tibet in terms of finance, tax, investment, price subsidy, foreign trade and enterprise reform as well as agricultural and rural policies. The emphasis would be on support for the middle and large key projects and social development programs of Tibet, such as energy resources, transport, communication and comprehensive development. As for price rises in Tibet caused by important price adjustment measures published by the Central Government, these would be made by the State. For foreign trade, a policy of "policies characterized of relaxed control, opening wider to the outside world and speeded up development" is to be implemented.

In taxation, people in Tibet enjoy a preferential policy, with local tax rate 3 percentage points lower than the level implemented elsewhere around the country.

In the financial aspect, the lending rate and insurance rate in Tibet are 2 percentage pointes lower than the national average level.

Farmers and herders in Tibet enjoy free medical care and their children receive free food and accommodation in boarding schools.

The regional ethnic autonomy system has blazed a wide way to accelerate Tibet's economic and social development and improve people's life.