Xi Jinping's Economic Thought steers China through challenges for sound journey ahead

CHINA'S APPROACH

Xi Jinping Thought on Socialist Economy with Chinese Characteristics for a New Era also comprises a series of principles that must be upheld in promoting economic and social development.

One of the principles is to remain committed to a people-centered philosophy of development. In line with this principle, China fought an extraordinary fight against COVID-19 this year, not giving up on any life whether they are infants or the elderly while managing to beat the epidemic slump to secure a fast economic recovery.

"We are willing to do whatever it takes to protect people's lives!" Xi once said.

When it comes to the relationship between government and market, the thought underlines the need to ensure that the market plays a decisive role in the allocation of resources, with the government better playing its role, and to resolutely remove institutional obstacles to economic development.

In the past few years, the government has further delegated powers, streamlined administration and improved services. As a result, market barriers have been further eliminated, market entities' vitality has been stimulated, and market competition has become fairer.

Xi's economic thought also advocates a problem-oriented approach in developing new strategies for economic growth. Emphasis has been put on addressing major issues and sustaining economic momentum from a long-term perspective.

As challenges at home and abroad are getting increasingly complex and more intertwined, the thought stresses the need to strengthen the Party's centralized and unified leadership over economic work, adhere to a general principle of maintaining stability while making progress.

In its review of the year's economic work last week, the CPC has summed up the country's experience from developing the economy in the face of severe challenges.

Faced with major tests, the judgment, decisiveness and executive capability of the CPC Central Committee have played a decisive role at critical junctures, according to the key Central Economic Work Conference held from Wednesday to Friday in Beijing.

Regarding putting people first as the fundamental premise of making correct decisions, the meeting said that as long as people's interests are put at the upmost position, correct decisions can be made, the best path be taken, and all challenges be conquered by relying on the people.

For next year, it said that China will work to ensure that its economy runs in an appropriate range, and keep its macro policies consistent, stable and sustainable, with continued implementation of a proactive fiscal policy and prudent monetary policy.

Calling for the country to take "a solid first step" in building the new development paradigm in 2021, the meeting also underlined the need to fully tap the potential of the domestic market, and expand consumption and effective investment that are oriented toward improving people's livelihoods.