China to leverage pioneering role of economic structural reform to deepen comprehensive reform

BEIJING -- China will better leverage the pioneering role of economic structural reform to further deepen reform comprehensively, Zheng Shanjie, head of China's top economic planner, said in an interview with Xinhua.

In the resolution adopted at the third plenary session of the 20th Communist Party of China Central Committee, China proposed taking economic structural reform as the "spearhead" and leveraging its leading role in deploying reforms in all areas and aspects.

Commenting on the spearhead role of economic structural reform, Zheng, head of the National Development and Reform Commission (NDRC), said that deepening economic structural reform is a "focal point" for further deepening reform comprehensively and reforms in all areas should be arranged around the point.

By taking the lead in economic structural reform, "which is like grabbing the 'ox's nose,' we can effectively promote the resolution of deep-seated contradictions in other areas," he said, adding that it also underpins the country's efforts to seize new opportunities and address new challenges during a critical period for China to advance national rejuvenation through Chinese modernization.

Since the start of this year, the Chinese economy has sustained sound upward momentum and nurtured new growth drivers despite the complex external environment. The country's gross domestic product grew 5 percent year on year in the first six months due to favorable policies and the development of new quality productive forces, the National Bureau of Statistics (NBS) said.

However, rising difficulties and challenges, especially from unsmooth economic flow at home, hindered economic growth in the second quarter, the NBS noted. Addressing these difficult problems in economic operation requires greater policy efforts, including delivering solid macroeconomic policies, leveraging policy synergies, and enhancing the effectiveness of policy implementation.

In the interview, Zheng said that the top economic planner will give full play to its functions of managing and coordinating overall economic activities and advancing economic structural reform in aspects of building a high-standard socialist market economy system, shaping new drivers and advantages for development, improving the institutional system of macroeconomic regulation, and developing a new system for a higher level of open economy.

It will further facilitate the circulation of the national economy, improve rules and standards for integrated circulation, unblock bottlenecks, and accelerate the construction of a unified national market. In the meantime, the NDRC says fundamental institutions of the market economy will be improved, with strengthened protection of property rights and intellectual property rights.

"Developing new quality productive forces is an intrinsic requirement and a key focus point for promoting high-quality development," Zheng said, stressing the importance of tailored strategies suiting the specific conditions of different industries in fostering the new growth drivers, momentum and advantages of China's economic development.

According to Zheng, the country will implement technological upgrading and large-scale equipment renewal projects in the manufacturing industry to accelerate the transformation and upgrading of traditional industries. It will also cultivate "gazelle and unicorn enterprises" to promote the growth of emerging industries.

Meanwhile, mechanisms promoting funding increases will be established for the incubation and nurturing of future industries, and new frontiers such as quantum technology and life sciences in the sectors will be pioneered.

It is necessary to "fully leverage the strategic guidance role of national development planning to enhance the consistency of macro policy orientations," Zheng told Xinhua.

In the future, the NDRC will adhere to the principle of "promoting reform through opening up" in the building of a new system for a higher level of open economy, Zheng said, vowing to beef up efforts to align with international economic and trade rules and fully eliminate restrictions on foreign investment access in the manufacturing sector.

It will also coordinate the progress of major landmark projects and "small but beautiful" livelihood initiatives to promote the steady and sustainable development of international cooperation under the Belt and Road Initiative, Zheng added.