With a view to promoting the nation’s high-quality development and long-lasting stability, China has outlined plans for boosting domestic consumption and fostering a stronger domestic market.
The said outline specifies the long-range objectives for implementing the strategy of increasing domestic demand from 2022-35.
It was jointly released by the Communist Party of China Central Committee and the State Council amidst multiple pressures from COVID-19 outbreaks and a grimmer, more complicated international environment,
According to experts, the document was released with the aims of expanding effective investment, spurring consumption and fostering the new development paradigm.
“There is an urgent need for China to expand domestic demand, as external demand could deteriorate next year due to a slowdown of the world economy,” Liu Chunsheng, an associate professor at the Central University of Finance and Economics was quoted as saying.
“Boosting domestic demand is therefore not only essential for longer-term economic restructuring but for ensuring steady economic growth in the short run.”
Resolutely implementing the strategy of expanding domestic demand and fostering a holistic domestic demand system are essential to stepping up the building of a new development paradigm, in which the domestic market is the mainstay and the domestic and international markets reinforce each other.
On top of that, it also represents strategic decision-making to promote the China’s long-term development and enduring stability.
By 2035, the size of the nation’s consumption and investment will be elevated to a new stage, a holistic domestic demand system will be formed and in full swing, the new type of industrialization, information technology applications, urbanization and agricultural modernization will be basically realized, and the construction of a stronger domestic market will have made great headway, according to the outline.
Core technologies in key fields will make significant breakthroughs, and innovation-driven domestic circulation that is propelled by domestic demand will be more efficient.
People’s incomes will be raised significantly, the gap between urban and rural development will have noticeably narrowed, the middle-income group will be expanded, and the common prosperity of all the people will see substantial progress by 2023
It also highlighted the greater role of reform in promoting the growth of domestic demand, saying that by 2035, the high-standard market system will be fully improved and the modern circulation system will be built up.
The document made clear that China will implement the strategy of expanding domestic demand while deepening supply-side structural reform and will boost the dynamism and reliability of the domestic economy while engaging at a higher level in the global economy, experts said.
The outline also sets out the short-term goals for carrying out the strategy of expanding domestic demand through 2025, including how to promote consumption and investment, unleash domestic demand potential, improve the market system and facilitate the dynamism of the economy.
