Premier Li Keqiang’s speech presents an impressive and very comprehensive situation analysis and action plan for China for the current year and as China begins to prepare the next 5 year plan. It presents the Chinese view of economic growth as an important driver of development with an integrated approach to disciplined economic management and realistic expectations for social, political, cultural and other important elements. I find the structural reforms outlined by Premier Li as particularly worthy of note, as these reforms are critical to adjusting both the domestic economy and China’s position within the world economy and takes into account geo-politics in the medium to long term. I am particularly impressed by the consistency with which the work plan seeks to have a positive impact on the lives of the people in less developed regions of China and farmers and those requiring a safety net such as the elderly and the poor, through more equitable allocation of resources and prioritization. In the area of financial reform, the stated objective of creation of a deposit insurance scheme is an important development which will protect depositors in failing financial institutions and for improving the safety of the reformed banking sector. It will increase confidence in the sector.
Under the leadership of President Xi Jinping, China has moved quickly to implement market reform, reshape the role of the government in granting approvals and reduce waste and corruption, while maintaining stability and strong economic growth at 7.4 percent in a less than robust global economic environment. Wide ranging initiatives were also implemented to create a platform for future expansion of trade and investments by opening further to new partnerships and agreements with other countries and other regions and by infrastructural and other developments to expand the Silk Road. The recent China-CELAC meeting between Chinese Leaders and Leaders and Foreign Ministers of 33 countries of Latin America and the Caribbean (of which my beautiful country Jamaica is a part) played a pivotal role in establishing cooperation in the areas of infrastructural development, trade, tourism and people to people exchanges. The expansion of Outward Direct Investment (ODI) to nearly match Foreign Direct Investment of $119.6 is an important result of China’s go global strategy and has had the effect of enhancing development in many countries while being beneficial to the Chinese economy. China’s road development and achievements in high speed rail and new industry creation are impressive achievements.
The major challenge facing China will be how deepen the reform its economy and governance without impairing economic sustainability and preserve social stability by more widely distributing the benefits of growth and opening up to more of its citizens, including those who are geographically disadvantaged. These domestic challenges become more apparent when the global geo-political situation is taken into account and economic and other events that occur in far away parts of the world require the multi-lateral cooperation or actions of other states or regional groupings, including China. The areas of pollution, climate change, natural disasters, terrorism, global pandemics and other risks and uncertainties present major challenges to all countries to a greater or lesser degree and can have an effect on expected outcomes in China. In the short term, none of these are major obstacles to most of the proposals in the work-plan and with continued cooperation, hard work and determination I expect that the Chinese people can continue to make great strides toward achieving a moderately prosperous society and the Chinese Dream of rejuvenation of the Chinese nation. An economically strong and stable China can continue to play an important role in the global community of nations and benefit human development.
-- Ralph S. Thomas,
ambassador of Jamaica to China
