SCIO briefing on 'high-quality achievements during the 14th Five-Year Plan period': Fiscal reform and development

Dazhong Daily:

In recent years, the finance department has introduced many policies to support education, and recently made key strides in promoting free preschool education. What progress has been made in supporting high-quality educational development? Thank you.

Lan Fo'an:

I would like to invite Ms. Guo to answer this question.

Guo Tingting:

Thank you for your question.

During the 14th Five-Year Plan period, national fiscal investment has continued to increase, supporting the establishment of the world's largest education system and driving high-quality development of the sector. The main achievements are as follows:

First, the scale of investment has steadily increased and the level of education for all people has continuously improved. As of the end of 2024, the proportion of national fiscal education expenditure to GDP has remained above 4% for more than 10 consecutive years. During the 14th Five-Year Plan period, national fiscal education expenditure is expected to exceed 25 trillion yuan, an increase of about 38% compared to the 13th Five-Year Plan period. The accessibility of education in China at all levels now either matches or surpasses the standards of middle and high-income countries. By 2024, the consolidation rate of compulsory education reached 95.9%, and the gross enrollment rate of higher education exceeded 60%. The average years of education for the working-age population reached 11.21 years, an increase of 0.41 years compared to the end of the 13th Five-Year Plan.

Second, the expenditure structure has been further optimized and key areas of education have been consolidated and improved. It is mainly embodied in three priorities. The first priority is to guarantee compulsory education. During the 14th Five-Year Plan period, the central government has arranged 1.1 trillion yuan in transfer payments. This has driven local governments to continuously increase investment in compulsory education. More than half of the budgetary spending on education are used for compulsory education, effectively ensuring the high-quality and balanced development of compulsory education. The second priority is to tilt towards the central and western regions. More than 80% of the central budget's transfer payments for education are allocated to the central and western regions. This has supported these regions to significantly improve teaching conditions and quality. The third priority is to support the development of a high-quality professional teaching team, increase funding guarantees and implement national-level training programs, as well as teacher quality improvement initiatives for vocational colleges and the targeted teacher training plan. In 2024, 86% of full-time teachers in compulsory education have a bachelor's degree or above, an increase of about 12 percentage points compared with the end of the 13th Five-Year Plan period.

Third, the policy for subsidizing students with financial difficulties has been adjusted and improved. The equity and accessibility of education have been further enhanced. During the 14th Five-Year Plan period, the central government allocates about 130 billion yuan each year to provide government scholarships and grants to students at all stages, benefiting about 150 million students. For four consecutive years, the policy of waiving interest and deferring principal repayment for government-subsidized student loans has been implemented. Last year, we significantly increased the standards and quotas of government scholarships and grants, and raised the cap and reduced the interest rates of government-subsidized student loans. This is the most intensive and extensive adjustment in recent years, benefiting 34 million students, allowing them to study without worry.

Fourth, the quality and efficiency of investment have been significantly enhanced, and the potential of education has been fully unlocked. Fiscal investment takes into account both "hardware" and "software" investments, and promotes the improvement of school-running conditions and the enhancement of education quality in a coordinated manner. In terms of improving school-running conditions, we have coordinated various funding resources to support the construction and expansion of necessary school buildings, updated teaching, research and training equipment and increased IT application in education. Currently, the campus network access rate across the country has reached 100%. In terms of improving teaching quality, we have carried out first-class discipline cultivation, supported the establishment of 14 national high-level talent training centers in mathematics, physics, chemistry, and biology, accelerated efforts to develop world-class universities and leading disciplines with Chinese features, and improved the training of homegrown talent. Every year, the number of college graduates in science, technology, engineering, and mathematics (STEM) majors in China exceeds 5 million, ranking first in the world. At the same time, we have promoted the development of high-level vocational colleges and majors with Chinese characteristics, explored the establishment of a differentiated per-student funding system for vocational education based on broad professional categories, and determined funding standards by category and grade considering factors such as the school-running costs of each professional category and the needs of economic and social development, so as to promote the close alignment of professional programs with industrial structure. Currently, in sectors such as modern manufacturing, over 70% of new frontline workers come from vocational schools.

The report to the 20th National Congress of the CPC proposed that by 2035, China will become a leading country in education. The ministry will continue to strengthen investment in education, further ensuring basic needs, addressing shortcomings, promoting fairness, and improving quality, to better meet the people's expectations from "having access to education" to "receiving high-quality education."

Thank you.