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SCIO press conference on macroeconomic situation and policies

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Speakers:

Mr. Liu Sushe, vice chairman of the National Development and Reform Commission (NDRC)

Mr. Yuan Da, deputy secretary-general of the NDRC and director general of the Department of National Economy of the NDRC

Mr. Jin Xiandong, director general of the Office of Policy Studies of the NDRC

Chairperson:

Ms. Xing Huina, deputy director general of the Press Bureau of the State Council Information Office (SCIO) and spokesperson of the SCIO

Date:

Jan. 18, 2024


Xing Huina:

Ladies and gentlemen, good afternoon. Welcome to this press conference held by the State Council Information Office (SCIO). Today, we have invited Mr. Liu Sushe, vice chairman of the National Development and Reform Commission (NDRC); Mr. Yuan Da, deputy secretary-general of the NDRC and director general of the Department of National Economy of the NDRC; and Mr. Jin Xiandong, director general of the Office of Policy Studies of the NDRC, to brief you on the macroeconomic situation and policies, and to take your questions.

Now, let's give the floor to Mr. Liu for his introduction.

Liu Sushe:

Thank you, Ms. Xing. Friends from the media, good afternoon. I'm very pleased to attend this press conference together with two of my colleagues. 

Yesterday, the National Bureau of Statistics released the key indicators and data reflecting the national economic performance of 2023. Looking back at last year, under the strong leadership of the Communist Party of China (CPC) Central Committee with Comrade Xi Jinping at its core, the Chinese economy withstood external pressure and surmounted internal difficulties, securing steady development and expansion amid challenges. Against the backdrop of global turbulence and change and lackluster economic growth, China's economy has shown steady progress and sustained momentum of growth. First, the national economy witnessed the momentum of recovery. The gross domestic product (GDP) exceeded 126 trillion yuan ($17.52 trillion) in 2023, an increase of 5.2% over the previous year. Employment and prices were generally stable. Foreign exchange reserves surpassed 3.2 trillion yuan by the end of 2023. The major expected targets for economic and social development in 2023 were well achieved. Second, the economic structure was further adjusted and improved. The leading role of internal circulation was markedly enhanced. Domestic demand contributed 111.4% to the nation's economic growth in 2023, of which final consumption contributed 82.5%, propelling economic growth by 4.3 percentage points. Substantial innovations continued to emerge, and the transformation from old to new growth drivers accelerated. The value added of equipment manufacturing increased 6.8% year on year. The investments in high-tech manufacturing and high-tech services grew 9.9% and 11.4%, respectively. Thirdly, steady progress was made in pursuing high-quality development. The number of granted invention patents reached 921,000. The construction of a unified national market was accelerated, and the business environment was further optimized. Newly created jobs were expected to exceed 12 million in urban areas in 2023, and resident incomes continued to increase. The total grain output reached 695 million metric tons in 2023, setting another record high and remaining above 650 million metric tons for nine consecutive years. Energy supply remained stable, and the foundation for secure development was further consolidated. 

The Central Economic Work Conference identified the overall requirements, policy orientation, and key tasks for this year's economic work. The NDRC will earnestly take onboard the decisions and arrangements made by the CPC Central Committee and the State Council, as well as their requirements for the development and reform work, and ensure faithful implementation. We will follow the principle of seeking progress while maintaining stability, promoting stability through progress, and establishing the new before abolishing the old. Additionally, we will intensify macro regulation, make constant efforts to effectively upgrade the quality and appropriately expand the quantity of the national economy, and make new contributions to building China into a great modern socialist country in all respects and advancing the rejuvenation of the Chinese nation on all fronts by pursuing Chinese modernization.

The NDRC's major tasks include economic analysis, policy study, making medium- and long-term as well as annual plans, investment management, project construction, reform and innovation, comprehensive coordination, and overall balance. In line with these functions, the NDRC will place greater emphasis on expanding effective demand and leveraging reform and innovation to enhance development vitality and momentum. It will also focus more on developing and expanding the real economy, enhancing people's well-being, and improving the effectiveness of macroeconomic policies. The NDRC will particularly commit itself to the work in the following seven areas.

First, the NDRC will encourage scientific and technological innovations to lead the development of a modern industrial system. Efforts will be made to advance greater self-reliance and strength in science and technology, vigorously promote new industrialization, and strengthen innovation capacity. In addition, the shift from old to new growth drivers will be sped up, the transformation and upgrading of traditional industries will be boosted, and greater efforts will be made to develop the digital economy.

Second, the NDRC will focus on expanding domestic demand and promoting the steady recovery and expansion of consumption. The leading role of government investment will be better leveraged. This involves intensifying efforts in and making more effective use of government investment, such as additional issuance of government bonds, investments from the central government budget, and local government special-purpose bonds. Furthermore, private investment will be stimulated, and effective investment will be actively expanded.

Third, the NDRC will comprehensively deepen reform and opening up. We will unswervingly consolidate and develop the public sector and unswervingly encourage, support, and guide the development of the non-public sector. Efforts will be made to continuously promote reform of key links, accelerate the development of a unified national market, as well as build and refine a high-standard socialist market economy. What's more, endeavors will be made to expand high-standard opening up and promote high-quality development of Belt and Road cooperation. We will make efforts to advance stable and well-structured foreign trade, attract and utilize more foreign investment, and improve the quality and level of outbound investment. 

Fourth, the NDRC will promote the integration of urban and rural areas and coordinate regional development. Rural revitalization will be advanced on all fronts, and achievements in poverty alleviation will be consolidated and expanded. Steady progress will be made in people-oriented new urbanization, and major regional strategies and coordinated regional development strategies will be implemented thoroughly.

Fifth, the NDRC will further promote ecological conservation and green and low-carbon development. We will enhance ecological conservation as well as pollution prevention and control, speed up energy-saving renovations, and expand renewable energy consumption. Also, we will transition from assessing the total amount and intensity of energy consumption to assessing the total amount and intensity of carbon emissions.

Sixth, the NDRC will work to both pursue development and safeguard security, step up efforts to guarantee security for food, energy resources, industrial chains, and supply chains, and continue to effectively prevent and diffuse risks in key areas.

Seventh, the NDRC will take practical measures to ensure and improve people's well-being, implement an employment-first strategy, improve public services and social security, work to ensure market supply and stable prices, and continue to seek growth while improving people's well-being.

That's all for my briefing. My two colleagues and I are ready to take questions. Thank you!

Xing Huina:

Thank you, Mr. Liu, for the introduction. The floor is now open for questions. Please identify the news outlet you represent before raising your questions.

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