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Great Progress Made in 2006 Economic Development
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The Central Committee of the Communist Party of China (CPC) and the State Council jointly held the Central Economic Work Conference on December 5-7, 2006 in Beijing.


President Hu Jintao, who is also general secretary of the CPC Central Committee and chairman of the Central Military Commission, made an important speech at the conference. On the basis of a comprehensive analysis of the current domestic economic situation and international economic environment, President Hu put forward the guidelines and overall requirements for the economic work in 2007 and also elaborated on the principles and major tasks to be fulfilled for the success of the economic work. Premier Wen Jiabao made detailed arrangements for the goals, tasks and relevant big issues for the economic work in 2007.


The conference said that in 2006–the first year of the 11th Five-Year Plan period (2006-10), China made new achievements in economic, political, cultural and social fields and in Party construction by holding high the great banner of Deng Xiaoping Theory and the important thought of the "Three Represents," fully putting into practice the scientific outlook on development and carefully implementing the 11th Five-Year Plan. China's defense and military modernization kept going on. Considering the new situations, new problems and striking contradictions in the process of China's economic and social development, the country continued to strengthen and improve macro control and push forward reform and opening up, which has contributed to improved conditions and environment for further development and better development trend. Forging ahead along the course set under macro-control policies, China maintained a rapid economic development and kept its consumer prices at a low level.


The year of 2006 witnessed great progress in China's economic development, which is a good start for the 11th Five-Year Plan period. The national economic development kept a stable and fast pace while the work on building a socialist new countryside was going forward in a solid way.


The country sped up the pace of industrial restructuring and made more efforts to encourage innovation in all walks of life. With new progress achieved in the reforms in some major and key areas, China also further opened itself to the outside world. In general, through joint efforts by the whole Party and people of all ethnic groups, China's economic strength and comprehensive national strength have been further enhanced, with a rising international influence and improved living conditions for the people. All the achievements are evidences for progress in the understanding and implementation of the scientific outlook on development. In addition, China has accelerated development of social undertakings, such as education, health care and social welfare, remarkably improving the people's living standard.


Despite the achievements, the conference stressed it is of vital importance to be aware of the striking conflictions and problems in the process of economic and social development, especially major issues that may affect the overall development of the country.


People must develop a full understanding of system and mechanism-related conflicts and of new situations and problems in the process of development, must be mindful of potential risks and try to do the work well. Based on previous years' experience and taking into consideration of the new economic and social situations, there have been some new consensuses on implementing the scientific outlook on development: People must have an in-depth understanding that a sound and rapid development is the essential requirement of the scientific outlook on development, must always put the issues concerning agriculture, rural areas and farmers at a prominent position of the overall economic development, must spare no effort to promote the overall balance of the economy while optimizing its structure, must regard the balance of international payments as an important objective in maintaining macro economic stability, must keep strengthening the incentive and restrictive mechanisms in enterprises and must stick to promoting the coordinated economic and social development. In a word, efforts must be doubled to deepen the understanding of the scientific outlook on development, enrich its connotation, improve the policies for its implementation and create a new situation for the scientific development.


The conference said that the overall international economic environment has offered excellent opportunities and also posed severe challenges to China's development but on the whole opportunities surpass challenges. It called on the Chinese people to concentrate on the country's construction and development by seizing the opportune opportunities presented by economic globalization and international industrial restructuring and transfer, persisting in the policy of reform and opening up, carrying on with the mutually beneficial opening-up strategy, developing cooperative relationship with all countries and expanding economic and trade cooperation with the rest of the world.


The conference pointed out that 2007 is a crucial year for the implementation of the scientific outlook on development and for the building of a socialist harmonious society. Excellent economic work matters a lot to maintain a sound economic and social development momentum and for the impendent 17th CPC National Congress. The major requirements for the economic work in 2007 are as follows: Following the guidance of the Deng Xiaoping Theory and the important thought of the "Three Represents," and thoroughly implementing the guidelines of the 16th CPC National Congress and spirits of the third, fourth, fifth and sixth plenums of the 16th CPC Central Committee, the whole country should make efforts to comprehensively implement the scientific outlook on development, accelerate the building of a socialist harmonious society, continuously strengthen and improve macro control and push forward economic restructuring and the transformation of economic growth mode. Efforts should also be made to promote energy conservation and environmental protection, to speed up reform and opening up and scientific and technological innovation, and to accelerate social development and improve people's living standard. The whole nation should focus on realizing a healthy and fast economic growth along a scientific development path so as to create a sound environment for the 17th CPC National Congress. This general requirement demands a thorough implementation of the scientific outlook on development in promoting economic and social development. Efforts should be made to coordinate the relationship among speed, quality and efficiency, among consumption, investment and export and among population, resources and environment to achieve the sound and rapid development in the real sense.




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