The Central Economic Work Conference was held in Beijing between December 15 and 16. General Secretary of the CPC Central Committee Xi Jinping attended the meeting and delivered an important speech. He summarized the economic work in 2022, analyzed the current economic situation, proposed the key points of economic work in 2023, and released seven major signals.
Setting the tone for the economy
At present, the foundation of China’s economic recovery is not yet solid, the triple pressure of shrinking demand, supply shock, and weakening expectations is still relatively large, and the external environment is turbulent, which has deepened the impact on China’s economy.
However, Xi Jinping said that China’s economy has strong resilience, great potential, and sufficient vitality, and the effects of various policies continue to show.
Start with Boosting Confidence
Xi Jinping pointed out that next year’s economic work will be complex, and it is necessary to move forward from the overall strategic situation, start with improving social psychological expectations and promote development confidence, and do good work.
Clearly, the CCP is well aware of some economic expectations that are not so optimistic in society. Therefore, for next year’s economic work, it is necessary to “start with improving social psychological expectations and promote development confidence”, first solve the problem of “whether you want to do it or not”, and then study “how to do that” and “can it be done well”.
Prioritize use
In the Chinese government’s specific plan for economic work next year, the first is “domestic demand.” Priority must be given to restoring and expanding use, improving usability, improving conditions of use, and using innovative use scenarios.
Experts believe that, based on the current status of “consumption”, it is not ruled out that the government will propose some specific policies next year, such as the government issuing consumer vouchers, developing the “night market economy” and encourage tourism.
Supporting the digital economy and platform companies
Xi Jinping said efforts should be made to develop the digital economy, improve the level of normalization supervision, and support platform companies to lead development, create jobs, and show their talents in international competition.
For China’s large Internet platform companies, this may be the most beneficial, because the Chinese government not only wants to “relax” supervision, but also “support” platform companies.
Restoring the status of private enterprises
The CCP has directed that it is necessary to implement the requirement of equal treatment of state-owned enterprises and private enterprises from the system and law, in order to encourage and support the development and growth of the private economy and private enterprises from public policy and opinion, and to protect the property rights of private enterprises and the rights and interests of entrepreneurs in accordance with the law Private enterprises solve problems and do practical things. This move will undoubtedly give “certainty” to private enterprises.
housing not speculation
Xi Jinping said that it is necessary to ensure the stable development of the real estate market, do a solid job in ensuring that buildings, people’s livelihood, and stability are provided, promote industrial restructuring and merger, prevent and solve high-risks effectively. quality heavy term builders, and improving the assets and liabilities.
He also said, “We must demand the location where housing is for living, not for speculation, and promote the smooth transition of the real estate industry to a new development model.” The so-called new development model, according to experts, believe, is to weaken the financial attributes of real estate and strengthen the instrument attribute “use come to live”.
Stay healthy and prevent serious illness
The CCP directed that epidemic prevention and control should be coordinated with economic and social development, and epidemic prevention and control measures should be improved according to the time and situation to ensure that the public can receive medical supplies, focusing on prevention and control’ the elderly and groups with underlying diseases, and focus on maintaining health and preventing serious illness.
Experts believe that the Chinese government will continue to improve the epidemic prevention measures, and the ultimate direction is very clear. “Prevention and control” is no longer the focus, but “health protection and disease prevention serious.”
