Government Work Report

— At the Third Session of the 13th National People’s Congress on May 22, 2020

Now, on behalf of the State Council, I would like to present the government’s work report to the Congress for your deliberation. We also invite members of the National Committee of the Chinese People's Political Consultative Conference to offer their comments.

The COVID-19 pandemic is the public health event with the fastest transmission rate, widest scope of infection, and greatest difficulty in prevention and control that China has faced since the founding of the People’s Republic of China. Under the strong leadership of the Party Central Committee with Comrade Xi Jinping at its core, and thanks to the arduous and extraordinary efforts—and sacrifices—of people across the country and the broad masses of the population, we have achieved major strategic victories in epidemic prevention and control. At present, the pandemic is far from over, and the task of development remains exceptionally daunting. We must strive to minimize the losses caused by the pandemic and make every effort to fulfill this year’s economic and social development goals and tasks.

I. Review of Work in 2019 and Since the Beginning of This Year

Last year, China’s development faced numerous difficulties and challenges. Global economic growth slowed down, international economic and trade tensions intensified, and domestic economic downward pressure mounted. Under the leadership of Comrade Xi Jinping and the Party Central Committee, the whole nation—comprising all ethnic groups—united and pressed ahead with determination to overcome these challenges, successfully accomplishing the major goals and tasks set for the year and laying a decisive foundation for fully building a moderately prosperous society in all respects.

— The overall economic performance remained stable. China’s GDP reached 99.1 trillion yuan, representing a growth rate of 6.1%. Urban areas added 13.52 million new jobs, and the surveyed unemployment rate stayed below 5.3%. Consumer prices rose by 2.9%. The balance of international payments was broadly in equilibrium.

—The economic structure and regional layout continue to be optimized. Total retail sales of consumer goods exceeded 40 trillion yuan, and consumption continues to play a major driving role. Advanced manufacturing and modern service industries have grown relatively rapidly. Grain production has remained above 1.3 trillion jin. The urbanization rate of the resident population surpassed 60% for the first time, and major regional strategies are being implemented in greater depth.

— New growth drivers continue to strengthen. A number of major achievements have been made in scientific and technological innovation. Emerging industries keep growing robustly, while traditional industries are accelerating their upgrades. Mass entrepreneurship and innovation are being deepened, with the number of enterprises increasing by more than 10,000 per day on average.

— Reform and opening-up has taken an important step forward. Structural reforms on the supply side continue to deepen, and new breakthroughs have been made in key areas. Tax and fee reductions totaled 2.36 trillion yuan, exceeding the originally planned figure of nearly 2 trillion yuan; manufacturing and small and micro enterprises have benefited the most. The reform of government institutions has been completed. The “delegation, regulation, and service” reform continues to be advanced in greater depth. The STAR Market has been established. Jointly building the Belt and Road Initiative has achieved new results. Implementation regulations for the Foreign Investment Law have been issued, and a new area has been added to the Shanghai Free Trade Zone. Foreign trade and foreign investment remain stable.

— Key progress has been made in the three major battles. The number of rural poor people has decreased by 11.09 million, and the poverty incidence rate has dropped to 0.6%, marking decisive achievements in the fight against poverty. Efforts to prevent and control pollution have continued to advance, with emissions of major pollutants continuing to decline and the overall ecological environment showing marked improvement. Financial operations remain generally stable.

— People’s livelihoods have continued to improve. Per capita disposable income of residents has exceeded 30,000 yuan. The levels of basic old-age, medical, and minimum living security benefits have been raised. Construction of affordable housing in urban areas and renovation of dilapidated rural homes have been further advanced. The number of students receiving living allowances for compulsory education has increased by nearly 40%, and enrollment at higher vocational colleges has expanded by 1 million students.

We solemnly celebrate the 70th anniversary of the founding of the People’s Republic of China, greatly inspiring patriotic enthusiasm among people of all ethnic groups across the country and rallying a mighty force to achieve the great victory of socialism with Chinese characteristics for a new era.

We are strengthening Party conduct and integrity building, earnestly carrying out thematic education on “Staying True to Our Original Aspiration and Keeping Our Mission Firmly in Mind,” strictly implementing the spirit of the Central Government’s Eight-Point Provisions, continuously addressing the “Four Winds,” and relieving burdens and reducing unnecessary constraints on the grassroots level.

China’s distinctive major-country diplomacy has yielded abundant achievements. We successfully hosted major home-field diplomatic events such as the Second Belt and Road International Cooperation Summit Forum. President Xi Jinping and other Party and state leaders have paid official visits to numerous countries and attended key international events including the G20 Leaders’ Summit, the BRICS Leaders’ Meeting, the Conference on Interaction and Confidence-building Measures in Asia (CICA), the Shanghai Cooperation Organization Summit, the Series of East Asia Cooperation Leaders’ Meetings, the China-EU Leaders’ Meeting, and the China-Japan-South Korea Leaders’ Meeting. China has actively participated in the building and reform of the global governance system and has promoted the construction of a community with a shared future for mankind. Economic diplomacy and people-to-people exchanges have been highly effective. China has made significant contributions to promoting world peace and development.

Distinguished delegates!

Since the outbreak of the COVID-19 pandemic, the Party Central Committee has treated epidemic prevention and control as its top priority. General Secretary Xi Jinping has personally commanded and deployed efforts, firmly putting the safety and health of the people first. Under the leadership of the Party Central Committee, the Leading Group for COVID-19 Response at the central level promptly conducted research and made arrangements; the central guidance teams stepped up their guidance and supervision; the Joint Prevention and Control Mechanism of the State Council coordinated and unified efforts; all regions and departments fulfilled their duties conscientiously; and all sectors of society provided full support. Together, we have waged a people’s war, a comprehensive battle, and a decisive battle against the epidemic. Countless medical workers have fought bravely; officers and soldiers of the People’s Liberation Army have taken on heavy responsibilities with courage; scientific and technological researchers have collaborated to overcome challenges; community workers, public security officers, grassroots cadres, journalists, and volunteers have remained steadfast in their posts; delivery personnel, sanitation workers, and those involved in the production and transportation of anti-epidemic supplies have worked tirelessly; hundreds of millions of ordinary workers have made silent contributions; the people of Wuhan and Hubei have shown remarkable resilience; and people from all walks of life, compatriots from Hong Kong, Macao, and Taiwan, and overseas Chinese communities have donated money and supplies. The sons and daughters of China have stood together through thick and thin, helping each other in times of need, thus building an imposing Great Wall against the epidemic.

In the fight against the epidemic, we have adhered to the overarching principles of firm confidence, solidarity and cooperation, scientific prevention and control, and targeted strategies, ensuring that all tasks are carried out meticulously and effectively. We promptly adopted emergency measures, classified COVID-19 as a Class-A infectious disease, and activated Level-I responses for major public health emergencies across various regions. We resolutely won the battles to defend Wuhan and Hubei Province, achieving decisive results. By decisively implementing stringent control measures and mobilizing the entire nation’s resources to provide support—dispatching over 40,000 medical personnel to aid the frontline—we rapidly expanded hospital bed capacity, prioritized the supply of medical materials, continuously optimized treatment protocols, and firmly integrated traditional Chinese medicine with Western medicine, devoting all our efforts to treating patients and maximizing recovery rates while minimizing mortality. We extended the national Spring Festival holiday, postponed school starts, adopted flexible work resumption policies, and encouraged staggered travel patterns. We upheld mass prevention and control measures, adhered to the “four early” principles, rigorously controlled sources of infection, and effectively curbed the spread of the epidemic. We intensified research and development of drugs, vaccines, and diagnostic reagents. We swiftly scaled up production of medical supplies, achieving substantial growth within a short period. We ensured stable supply and prices of essential daily necessities, kept transportation arteries unimpeded, and maintained reliable supplies of coal, electricity, oil, and gas. In response to evolving epidemic conditions, we steadily advanced toward normalized prevention and control measures. In light of the overseas epidemic situation, we promptly established an external defense system to prevent imported cases and stepped up care and concern for Chinese citizens abroad. We actively engaged in international cooperation, adopting an open, transparent, and responsible approach by promptly sharing epidemic information, proactively sharing anti-epidemic technologies and practices, and offering mutual assistance to jointly combat the pandemic.

For a developing country like ours, with a population of 1.4 billion, it has been no easy feat—and indeed, extremely difficult—to effectively control the epidemic within a relatively short period and to safeguard people’s basic livelihoods. We have also paid a tremendous price: in the first quarter, our economy experienced negative growth, and the order of production and daily life was severely disrupted. Yet, putting life first is a price we had to bear—and one that was well worth paying. We have coordinated efforts to fight the epidemic and promote economic and social development, seizing every opportunity to resume work and production. We introduced 90 policy measures across eight key areas, implemented support programs for enterprises to stabilize employment, reduced or exempted certain taxes and fees, waived tolls on all toll roads, lowered energy costs, and provided subsidized loans. We also issued special local government bonds ahead of schedule according to established procedures. We ensured timely agricultural activities by not missing the critical spring planting season. We continued our relentless efforts to eradicate poverty. We provided subsidies to those working on the front lines of epidemic prevention and to people facing difficulties, and doubled the temporary price subsidy standards. These policies have benefited hundreds of millions of people, promptly and effectively supporting stable supply and prices as well as the resumption of work and production. As a result, China’s economy has demonstrated remarkable resilience and enormous potential.

Distinguished delegates!

去年以来经济社会发展和今年疫情防控取得的成绩，是以习近平同志为核心的党中央坚强领导的结果，是习近平新时代中国特色社会主义思想科学指引的结果，是全党全军全国各族人民团结奋斗的结果。我代表国务院，向全国各族人民，向各民主党派、各人民团体和各界人士，表示诚挚感谢！向香港特别行政区同胞、澳门特别行政区同胞、台湾同胞和海外侨胞，表示诚挚感谢！向关心支持中国现代化建设和抗击疫情的各国政府、国际组织和各国朋友，表示诚挚感谢！

While acknowledging our achievements, we are also keenly aware of the difficulties and challenges we face. Affected by the global pandemic, the world economy has plunged into a severe recession, disrupting the circulation of industrial and supply chains, shrinking international trade and investment, and causing turmoil in commodity markets. Domestically, consumption, investment, and exports have all declined, putting significant pressure on employment. Businesses—especially small, medium, and micro-sized enterprises—are facing increasingly acute difficulties. Risks in sectors such as finance have begun to accumulate, and fiscal revenue and expenditure imbalances at the grassroots level have intensified. There are still shortcomings in government work; formalism and bureaucratic practices remain prominent, and a few officials fail to act or lack the necessary skills to do so. Corruption remains rampant in certain areas. In epidemic prevention and control, numerous weak links have been exposed in public health emergency management and other related fields, and the public still has many valuable opinions and suggestions that deserve our serious attention. We must make every effort to improve our work, earnestly fulfill our duties, and spare no effort to live up to the people’s expectations.

II. Main Development Goals for This Year and Overall Deployment for the Next Phase of Work

To do a good job this year, we must, under the strong leadership of the Party Central Committee with Comrade Xi Jinping at its core and guided by Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, fully implement the spirit of the 19th National Congress of the Party as well as the Second, Third, and Fourth Plenary Sessions of the 19th Central Committee. We must resolutely uphold the Party’s basic theory, basic line, and basic strategy; enhance our “four consciousnesses,” firmly uphold our “four self-confidences,” and ensure we “two safeguards.” We must closely focus on the goal and tasks of building a moderately prosperous society in all respects, coordinate and promote epidemic prevention and control with economic and social development, and, on the premise of normalizing epidemic prevention and control, adhere to the general tone of seeking progress while maintaining stability, uphold the new development philosophy, take supply-side structural reform as the main thread, and use reform and opening-up as the driving force to promote high-quality development. We must fight resolutely against the three major tough battles, intensify efforts to ensure “six stabilizations”—stabilizing employment, basic livelihoods, market entities, food and energy security, industrial and supply chain stability, and grassroots operations—and firmly implement the strategy of expanding domestic demand. By doing so, we can safeguard the overall situation of economic development and social stability, ensure the successful completion of the decisive battle against poverty, and fully build a moderately prosperous society in all respects.

At present and in the period ahead, China’s development faces unprecedented risks and challenges. Yet we possess unique political and institutional advantages, a solid economic foundation, enormous market potential, and hundreds of millions of hardworking, intelligent people. As long as we squarely face these challenges, remain firmly confident in our development, bolster our development momentum, and safeguard and make good use of the critical strategic window of opportunity for China’s development, we will surely overcome the current difficulties, and China’s future development will be full of hope.

Based on a comprehensive assessment of the situation, we have made appropriate adjustments to the target expectations we had set before the outbreak. This year, our top priorities are stabilizing employment and safeguarding people’s livelihoods, resolutely winning the battle against poverty, and striving to achieve the goals of building a moderately prosperous society in all respects. Specifically, we aim to create more than 9 million new urban jobs, keep the surveyed urban unemployment rate around 6%, and maintain the registered urban unemployment rate at about 5.5%. We also expect the consumer price index to rise by around 3.5%. We will promote stable and high-quality growth in imports and exports, ensuring that the balance of international payments remains broadly balanced. Residents’ income growth will generally keep pace with economic growth. Under the current standards, all rural poor populations will have been lifted out of poverty, and all poverty-stricken counties will have been removed from the list of impoverished areas. Major financial risks will be effectively contained and managed. Energy consumption per unit of GDP and emissions of key pollutants will continue to decline, and we will make every effort to fulfill the targets set forth in the 13th Five-Year Plan.

It’s important to note that we have not set a specific target for the country’s annual economic growth rate. The primary reason is the great uncertainty surrounding the global pandemic and the international economic and trade situation, which means our development faces a number of unforeseen challenges and influencing factors. By adopting this approach, we can better guide all sectors to focus their efforts on ensuring “six stabilizations” and “six safeguards.” Among these, “six safeguards” represent the key focus of this year’s “six stabilizations” work. By firmly upholding the bottom lines of the “six safeguards,” we can stabilize the economy’s fundamental foundation; by using safeguarding as a lever to promote stability and seeking progress within stability, we can lay a solid foundation for fully building a moderately prosperous society. We must recognize that whether it’s about safeguarding employment and people’s livelihoods, achieving poverty alleviation goals, or preventing and resolving risks—each of these tasks requires the support of economic growth. Maintaining stable economic operations is crucial to the overall situation. We must employ reform and opening-up measures to stabilize employment, protect people’s livelihoods, and boost consumption, thereby stimulating the market and ensuring steady growth, and charting a new path that effectively addresses shocks and achieves a virtuous cycle.

The proactive fiscal policy must be even more proactive and effective. This year, the deficit-to-GDP ratio is planned to be set at above 3.6%, with the scale of the fiscal deficit increasing by one trillion yuan compared to last year. At the same time, one trillion yuan in special government bonds for epidemic prevention will be issued. These are extraordinary measures taken in an exceptional period. The entire two trillion yuan will be transferred directly to local governments, and a special transfer-payment mechanism will be established to ensure that funds reach the grassroots level—cities and counties—and directly benefit enterprises and people. The funds will primarily be used to safeguard employment, ensure basic living standards, and support market entities, including providing assistance with tax and fee reductions, rent and interest rate cuts, and boosting consumption and investment. We will strengthen the public finance nature of these expenditures and absolutely prohibit any misappropriation or diversion of funds. We must vigorously optimize the structure of fiscal spending: spending on basic livelihoods must only increase, never decrease; spending on key areas must be effectively guaranteed; and general expenditures must be resolutely reduced. The construction of new government buildings, halls, and facilities is strictly prohibited, as is any form of extravagance and waste. Governments at all levels must genuinely adopt a frugal approach, with the central government taking the lead. Central government expenditures at its own level will be arranged with negative growth, and non-essential and non-rigid expenditures will be cut by more than 50%. All kinds of surplus and accumulated funds must be fully recovered and reallocated. We must significantly enhance the quality and efficiency of fiscal spending. Every expenditure must be carefully planned and meticulously managed. We must ensure that every single yuan is spent where it matters most and where it is most urgently needed, so that market entities and the general public can truly feel the tangible benefits.

A prudent monetary policy should be more flexible and appropriate. We will comprehensively employ measures such as lowering the reserve requirement ratio, cutting interest rates, and providing relending facilities to guide the growth rate of broad money supply and the scale of social financing to significantly exceed last year’s levels. We will maintain the RMB exchange rate at a broadly stable and balanced level. We will innovate monetary policy tools that directly reach the real economy, ensuring that enterprises can easily obtain loans and driving sustained declines in interest rates.

The employment-first policy must be comprehensively strengthened. Fiscal, monetary, and investment policies should focus their efforts on supporting stable employment. We must strive to stabilize existing jobs, actively create new ones, and facilitate the re-employment of unemployed individuals. All localities should eliminate and abolish unreasonable restrictions on employment, fully implement employment-promoting measures, and make the most of available methods for expanding job opportunities.

Poverty alleviation is a tough task that must be completed in order to fully build a moderately prosperous society in all respects. We must adhere to the current poverty alleviation standards, strengthen the implementation of targeted poverty alleviation measures, ensure that all remaining impoverished people are lifted out of poverty, and improve and effectively implement mechanisms for monitoring and assisting those who have fallen back into poverty, thereby consolidating our achievements in poverty alleviation. We must fight vigorously to protect our blue skies, clean waters, and pristine lands, and achieve the phased goals set forth in the battle against pollution. We must also enhance our efforts to prevent and control major risks, and firmly uphold the bottom line of avoiding systemic risks.

Nearly five months of this year have already passed. In the next phase, we must continue to maintain unwavering efforts in regular epidemic prevention and control while promptly and effectively carrying out all tasks related to economic and social development. The policies we’ve introduced not only remain strong but also take sustainability into account; they can be further refined as the situation evolves. We are determined and fully capable of achieving our annual goals and tasks.

III. Intensify the implementation of macro policies and focus on stabilizing businesses and safeguarding employment.

To safeguard employment and people's livelihoods, we must stabilize the hundreds of millions of market entities and do our utmost to help enterprises—especially small, medium, and micro-sized enterprises and individual business households—overcome their current difficulties.

We will intensify efforts to cut taxes and fees. We will strengthen temporary policies and integrate them with institutional arrangements, allowing liquidity to nourish businesses and help market entities overcome difficulties and achieve sustainable development. This year, we will continue implementing measures such as lowering the value-added tax rate and reducing enterprise pension insurance contribution rates, adding approximately 500 billion yuan in tax and fee reductions. Previously announced tax and fee reduction policies that were set to expire by June—including exemptions from employer contributions for pension, unemployment, and work-related injury insurance for small, medium, and micro-sized enterprises; reductions or exemptions of value-added tax for small-scale taxpayers; exemptions from value-added tax on services such as public transportation, catering and accommodation, tourism and entertainment, and culture and sports; and reductions or exemptions of the Civil Aviation Development Fund and port construction fees—will all have their implementation periods extended through the end of this year. Income tax payments for small and micro enterprises and individual business households will be deferred entirely until next year. It is estimated that these measures will reduce the burden on enterprises by more than 2.5 trillion yuan over the entire year. We must resolutely ensure that tax and fee reduction policies reach businesses, safeguard our economic vitality, and secure a brighter future.

Promote the reduction of business operating costs. The policy of lowering electricity prices for industrial and commercial users by 5% has been extended to the end of this year. Average tariffs for broadband and dedicated lines have been reduced by 15%. State-owned property rental fees will be exempted or reduced, and all types of property owners are encouraged to waive or defer rent collection, with corresponding policy support provided. We will resolutely crack down on illegal charges levied on enterprises.

Strengthen financial support for stabilizing businesses. The policy of deferring principal and interest payments on loans to small, medium, and micro enterprises will be extended again until the end of March next year. All eligible inclusive small and micro enterprise loans should be deferred as much as possible, while loan deferrals for other struggling enterprises will be negotiated on a case-by-case basis. Banks are encouraged to significantly increase credit loans, first-time loans, and rollover loans without requiring repayment of principal for small and micro enterprises. Government-backed financing guarantees will be substantially expanded in coverage, and their fees will be noticeably reduced. Large commercial banks are expected to see growth rates in inclusive loans to small and micro enterprises exceed 40%. Support will be provided to help enterprises expand bond financing. Regulatory oversight will be strengthened to prevent funds from being “circulated in vain” for arbitrage purposes. Financial institutions and borrowing enterprises should thrive together; banks are encouraged to make reasonable concessions. To safeguard market entities, it is imperative that access to loans for small, medium, and micro enterprises be significantly improved and that overall financing costs be markedly reduced.

Make every possible effort to stabilize and expand employment. Strengthen employment support for key industries and key groups. This year, the number of college graduates will reach 8.74 million. We must promote market-oriented and socially-driven employment, and both colleges and local governments should provide continuous, uninterrupted employment services. Ensure effective employment guarantees for veterans. Implement policies that grant migrant workers equal access to employment services in their places of employment. Provide assistance to vulnerable groups such as persons with disabilities and zero-employment households. China has hundreds of millions of flexible workers, including gig workers. This year, we’ve introduced a voluntary deferral policy for social insurance contributions for low-income individuals, and all administrative and public service fees related to employment have been completely abolished. We’ll provide subsidies to help retain jobs through training—this year and next, we’ll offer vocational skills training to more than 35 million person-times. Higher vocational colleges will expand enrollment by 2 million students. Our goal is to enable more workers to acquire valuable skills and find better employment opportunities.

4. Rely on reform to unleash the vitality of market entities and bolster new drivers of development.

The greater the difficulties and challenges, the more we must deepen reform, remove institutional and systemic barriers, and unleash endogenous development momentum.

Deepen the “delegation, regulation, and service” reform. Under the context of regular epidemic prevention and control, we must adjust measures and streamline procedures to facilitate the full resumption of work, production, markets, and business operations. We should promote the integration of more service items into a single online platform, enabling enterprises to complete the entire business establishment process entirely online. Relax restrictions on the registered business premises for small and micro enterprises and individual businesses, making it easier for all types of entrepreneurs to register their businesses and promptly access supportive policies. Support the integrated development of large, medium, and small enterprises. Uphold fair competition through impartial regulation and continue to foster a business environment that is market-oriented, rule-of-law-based, and internationally competitive.

Promote reforms to facilitate market-based allocation of production factors. Encourage small and medium-sized banks to replenish capital and improve governance, thereby better serving small, micro, and medium-sized enterprises. Reform the ChiNext board and pilot a registration-based system. Strengthen the risk protection function of insurance. Grant provincial governments greater autonomy in land-use planning. Facilitate the flow of talent, foster markets for technology and data, and unlock the full potential of various production factors.

Enhance the effectiveness of state-owned asset and state-owned enterprise reform. Implement the Three-Year Action Plan for State-Owned Enterprise Reform. Improve the regulatory system for state-owned assets and deepen reforms in the mixed-ownership model. Basically complete the separation of social functions from enterprises and resolve long-standing historical issues. State-owned enterprises should focus on their core businesses, establish sound market-oriented operating mechanisms, and enhance their core competitiveness.

Optimize the development environment for the private sector. Ensure that private enterprises have equal access to production factors and policy support, and eliminate unreasonable regulations that tie benefits to enterprise ownership. Set a deadline for settling outstanding payments owed by government agencies to private and small- and medium-sized enterprises. Foster a clean and close relationship between government and business, and promote the healthy development of the non-public sector economy.

Promote the upgrading of manufacturing and the development of emerging industries. Substantially increase medium- and long-term loans to the manufacturing sector. Develop the industrial internet and advance smart manufacturing. New business models such as e-commerce, online shopping, and online services have played a vital role in fighting the epidemic; we must continue to introduce supportive policies, fully promote “Internet Plus,” and build new advantages in the digital economy.

Enhance the capacity to support scientific and technological innovation. Provide stable funding for basic research and applied basic research, and encourage enterprises to increase their R&D investments. Accelerate the construction of national laboratories, restructure the national key laboratory system, and foster the development of social R&D institutions. Deepen international scientific and technological cooperation. Strengthen intellectual property protection. Implement a “listing and appointment” approach for tackling key projects—whomever is capable should be put in charge.

Deeply advance mass entrepreneurship and innovation by all. Develop venture capital and increase entrepreneurial guarantee loans. Deepen the new round of comprehensive innovation and reform trials, establish a new batch of demonstration bases for mass entrepreneurship and innovation, uphold inclusive and prudent regulation, foster the platform economy and the sharing economy, and further unleash societal creativity.

V. Implement the strategy of expanding domestic demand and accelerate the transformation of the economic development model.

China has great potential for domestic demand. We need to deepen supply-side structural reform, emphasize a people-centered approach, and effectively integrate and mutually promote the boosting of consumption with the expansion of investment.

Promote a rebound in consumption. By stabilizing employment, boosting incomes, and safeguarding people’s livelihoods, we can enhance residents’ willingness and ability to consume. Support the recovery and development of lifestyle service industries such as catering, shopping malls, culture, tourism, and household services, and foster integration between online and offline channels. Develop elderly care and childcare services. Renovate and upgrade pedestrian streets. Support e-commerce and express delivery services in rural areas, thereby expanding rural consumption. We must adopt a variety of measures to expand consumption and meet the diversified needs of the public.

Expand effective investment. This year, we plan to allocate 3.75 trillion yuan in special local government bonds, an increase of 1.6 trillion yuan over last year. We will also raise the proportion of special bonds that can be used as project equity capital. Central budgetary investment will total 600 billion yuan. We will focus on supporting the “Two New, One Heavy” initiatives—new infrastructure, new urbanization, and major projects—that both boost consumption, benefit people’s livelihoods, and adjust the economic structure to enhance long-term growth momentum. Specifically: Strengthen the construction of new infrastructure, develop next-generation information networks, expand 5G applications, build charging stations, promote new-energy vehicles, stimulate new consumer demand, and facilitate industrial upgrading. Enhance new-type urbanization by significantly improving public facilities and service capabilities in county towns to meet the growing needs of rural residents seeking employment and settling in these towns. We will start renovating or rebuilding 39,000 old residential communities in urban areas, support the installation of elevators, and develop diverse community services such as dining and cleaning. We will also strengthen the construction of major projects in transportation, water conservancy, and other key sectors. We will increase the capital contribution for national railway construction by 100 billion yuan. We will improve market-oriented investment and financing mechanisms and ensure that private enterprises can participate on an equal footing. We must carefully select projects to avoid leaving behind lingering problems and ensure that investments continue to deliver sustained benefits.

Deeply advance new-type urbanization. Leverage the comprehensive driving role of central cities and urban clusters to foster industries and boost employment. Adhere to the principle that housing is for living in, not for speculation, adopt city-specific policies, and promote the steady and healthy development of the real estate market. Improve public convenience facilities to make cities more attractive for both business and living.

Accelerate the implementation of regional development strategies. Continue to promote the large-scale development of the western region, the comprehensive revitalization of the northeast, the rise of the central region, and the leading development of the eastern region. Deeply advance coordinated development of the Beijing-Tianjin-Hebei region, construction of the Guangdong-Hong Kong-Macao Greater Bay Area, and integrated development of the Yangtze River Delta. Promote joint efforts for the protection of the Yangtze River Economic Belt. Draft a general plan for ecological protection and high-quality development of the Yellow River Basin. Advance the construction of the Chengdu-Chongqing Twin-City Economic Circle. Foster faster development in old revolutionary base areas, ethnic minority regions, border areas, and poverty-stricken regions. Develop the marine economy.

Implement effectively the package of policies supporting Hubei’s development, and provide support for safeguarding employment, ensuring people’s livelihoods, and maintaining normal operations, thereby promoting the full restoration of economic and social order.

Enhance the effectiveness of ecological and environmental governance. Emphasize pollution control based on law, science, and precision. Deepen efforts to tackle air pollution in key regions. Strengthen the construction of facilities for wastewater and waste disposal. Accelerate the relocation and upgrading of enterprises producing hazardous chemicals. Expand the energy-saving and environmental protection industries. Severely punish illegal hunting and trading of wild animals. Implement major projects for the protection and restoration of critical ecosystems, and promote the development of ecological civilization.

Ensure energy security. Promote the clean and efficient utilization of coal, develop renewable energy sources, improve the integrated production, supply, and sales system for oil, natural gas, and electricity, and enhance energy reserve capabilities.

6. Ensure the achievement of poverty alleviation goals and promote bountiful agricultural harvests and increased farmers’ incomes.

Implement measures for poverty alleviation and rural revitalization, ensure the supply of important agricultural products, and improve farmers’ living standards.

We are determined to win the battle against poverty. We will intensify efforts to lift the remaining impoverished counties and villages out of poverty, and ensure that migrant workers find stable employment in their places of work. We will launch consumption-based poverty alleviation initiatives to support the recovery and development of poverty-alleviation industries. We will strengthen follow-up support for relocation-based poverty alleviation programs. We will deepen cooperation between eastern and western regions as well as targeted poverty alleviation efforts by central government agencies. We will reinforce the social safety net and provide basic living guarantees. We will conduct a comprehensive census on poverty alleviation efforts. We will seamlessly connect poverty alleviation with rural revitalization, and do our utmost to help those who have been lifted out of poverty move toward prosperity.

We will focus on strengthening agricultural production. We will stabilize the sown area and output of grain, increase the multiple-cropping index, raise the minimum procurement price for rice, enhance rewards for major grain-producing counties, and vigorously combat major pests and diseases. We will punish any illegal or non-compliant encroachment on cultivated land and build 80 million mu of high-standard farmland. We will deepen rural reforms, restore hog production, and firmly implement the “rice-bag” governor responsibility system and the “vegetable-basket” mayor responsibility system. With 1.4 billion Chinese people relying on us to ensure their food security, we have both the capability and the obligation to keep our food supply firmly in our own hands.

Expand channels for farmers to find employment and increase their incomes. Support farmers in seeking employment and starting businesses locally, and scale up work-relief programs, enabling migrant workers returning home to find jobs and earn income. Provide support for moderately sized agricultural operators and strengthen social services for farming households. Increase investment through special bonds to support modern agricultural infrastructure, safe drinking water projects, and improvements to rural living environments, continuously enhancing farmers’ production and living conditions.

7. Promote higher-level opening-up and stabilize the foundation of foreign trade and foreign investment.

In the face of changing external conditions, we must unswervingly expand opening-up to the outside world, stabilize industrial and supply chains, and use openness to drive reform and foster development.

Promote basic stability in foreign trade. Focusing on supporting enterprises in securing more orders, stabilizing jobs, and safeguarding employment, we will increase credit lending, expand coverage of export credit insurance, reduce compliance costs for import and export activities, and support the shift of exported products to domestic sales. We will accelerate the development of new business models such as cross-border e-commerce and enhance international freight capacity. We will also advance the pilot program for innovative development of service trade in a new round. We will carefully prepare for the third China International Import Expo, actively expand imports, and develop a higher-level, globally-oriented market.

Actively leverage foreign investment. Substantially shorten the negative list for foreign investment access and introduce a negative list for cross-border trade in services. Grant greater autonomy in reform and opening-up to pilot free trade zones, accelerate the development of the Hainan Free Trade Port, establish additional pilot free trade zones and comprehensive bonded zones in central and western regions, and expand comprehensive pilot programs for further opening up the service sector. Foster a market environment in which both domestic and foreign-invested enterprises are treated equally and compete fairly.

High-quality joint building of the Belt and Road Initiative. Adhere to the principles of extensive consultation, joint contribution, and shared benefits; follow market principles and internationally accepted norms; give full play to the role of enterprises as the main actors; and pursue mutually beneficial and win-win cooperation. Guide foreign investment toward healthy development.

Promote trade and investment liberalization and facilitation. Firmly uphold the multilateral trading system and actively participate in WTO reform. Push for the signing of the Regional Comprehensive Economic Partnership Agreement and advance free-trade negotiations among China, Japan, and South Korea. Jointly implement the Phase One economic and trade agreement between China and the United States. China is committed to strengthening economic and trade cooperation with all countries to achieve mutual benefits and win-win outcomes.

8. Focus on safeguarding and improving people’s livelihoods, and promote reform and development in social undertakings.

Faced with difficulties, we must firmly safeguard the bottom line of basic people's livelihoods and make every effort to address issues that concern the public.

Strengthen the construction of the public health system. Uphold the principle of putting life first, reform the disease prevention and control system, improve the direct reporting and early warning systems for infectious diseases, and ensure that epidemic information is released promptly, openly, and transparently. Make good use of special government bonds for epidemic response, increase investment in the research and development of vaccines, drugs, and rapid testing technologies, expand medical facilities for epidemic prevention and treatment, add mobile laboratories, enhance the supply of emergency materials, and reinforce grassroots-level health and epidemic prevention efforts. Deeply carry out the patriotic health campaign. We must significantly enhance our capacity for prevention and control, resolutely prevent a resurgence of the epidemic, and firmly safeguard the health of the people.

Improve the quality of basic medical services. The per capita financial subsidy for resident medical insurance will be increased by 30 yuan, and a pilot program will be launched to enable direct settlement of outpatient expenses across provinces. Medical institutions affected by the epidemic will receive support. Promote the revitalization and development of traditional Chinese medicine. Strengthen strict regulation of food and drugs to ensure safety.

Promote equitable development and quality enhancement in education. Organize primary and secondary school teaching and learning activities, as well as the high school entrance and college entrance examinations, in an orderly manner. Strengthen the construction of boarding schools in townships and schools in county seats; provide high-quality special education and continuing education; support and regulate private education; and assist private kindergartens in overcoming their current difficulties. Advance the development of first-class universities and first-class disciplines. Expand the enrollment scale of higher education institutions targeting rural and poverty-stricken areas. We must optimize the structure of educational investment to ensure that educational resources benefit all families and children, enabling them to have a brighter future.

Strengthen efforts to ensure basic living standards. Raise the basic pension for retirees and increase the minimum standard for basic pensions for urban and rural residents. With nearly 300 million people nationwide receiving pensions, it is imperative to ensure that payments are made on time and in full amounts. Improve the preferential treatment and resettlement system for veterans. Properly provide compensation and support for those who have died in the line of duty. Expand the coverage of unemployment insurance, including migrant workers and other unemployed individuals who have been insured for less than one year within their place of permanent residence. Broaden the scope of minimum living security coverage, ensuring that all eligible困难 families in both urban and rural areas receive the necessary assistance, and promptly include eligible urban unemployed and returning migrant workers into the minimum living security system. Provide relief to those facing temporary difficulties due to disasters or illness. We must effectively safeguard the basic livelihoods of all people in need; by protecting people’s livelihoods, we will also help more unemployed individuals find new jobs and dare to start their own businesses.

Enrich the spiritual and cultural lives of the masses. Cultivate and practice the core socialist values, and develop fields such as philosophy and social sciences, journalism and publishing, radio and television, and cultural relics preservation. Strengthen public cultural services, prepare for the Beijing Winter Olympics and Winter Paralympics, promote nationwide fitness initiatives, and ensure that the entire society is vibrant, upward-looking, and committed to goodness.

Strengthen and innovate social governance. Enhance community service functions. Support the healthy development of social organizations, humanitarian relief efforts, volunteer services, and charitable undertakings. Safeguard the legitimate rights and interests of women, children, the elderly, and persons with disabilities. Improve the petitioning system, strengthen legal aid, and promptly address the reasonable demands of the public. Conduct the Seventh National Population Census. Strengthen capacity-building for national security. Crack down on all types of crime in accordance with the law and build a China that is safer at a higher level.

Strengthen responsibility for safe production. Enhance disaster prevention efforts against floods, fires, earthquakes, and other hazards; provide high-quality meteorological services; and improve capabilities in emergency rescue and disaster prevention and mitigation. Carry out special rectifications targeting unsafe production practices. Resolutely curb the occurrence of serious and particularly major accidents.

Distinguished delegates!

Faced with arduous and heavy tasks, governments at all levels must consciously maintain a high degree of consistency—in thought, politics, and action—with the Party Central Committee with Comrade Xi Jinping at its core. They should put into practice the development philosophy centered on the people, fully implement the requirements for strict governance over the Party, uphold administrative governance based on the rule of law, ensure transparency in government affairs, and enhance governance capacity. They must accept supervision from the people’s congresses at the same level and their standing committees in accordance with the law; voluntarily submit to democratic oversight by the Chinese People's Political Consultative Conference; and proactively embrace oversight from society and public opinion. We must strengthen audit oversight and give full play to the roles of mass organizations such as trade unions, the Communist Youth League, and the All-China Women's Federation. Government officials must consciously accept oversight from the law, supervisory authorities, and the people. We must reinforce the building of an honest and clean government and resolutely punish corruption.

Governments at all levels must always adhere to the principle of seeking truth from facts, firmly grasp the basic national condition of being in the primary stage of socialism, follow objective laws, proceed from actual conditions in everything we do, and focus on doing our own jobs well. We must vigorously address the “Four Winds,” liberating grassroots cadres from the shackles of formalism so they can wholeheartedly devote themselves to getting things done and starting businesses. We should stand firmly behind those who take responsibility and hold accountable those who fulfill their duties. We must rely closely on the people, respect the spirit of grassroots innovation, and push forward reform and opening-up with greater intensity, thereby unleashing social vitality and pooling the wisdom and strength of hundreds of millions of people. This is the confidence that enables us to overcome all difficulties and challenges. All cadres should face difficulties without fear, prioritize practical action, unite hearts and minds, and concentrate efforts on promoting development and safeguarding people’s livelihoods. As long as we remain steadfastly united with the people, sharing both joys and sorrows and forging ahead with determination, the Chinese people’s aspiration for a better life will surely be realized.

This year, we must carefully prepare the 14th Five-Year Plan and draw up a blueprint for embarking on a new journey toward achieving the second centenary goal.

Distinguished delegates!

We must uphold and improve the system of ethnic regional autonomy, support faster development in minority ethnic groups and ethnic regions, and strengthen the sense of community among all Chinese nationalities. We should fully implement the Party’s basic principles on religious work and harness the positive role played by religious figures and religious believers in promoting economic and social development. Overseas Chinese compatriots are deeply cherished by our motherland and serve as an important bridge connecting China with the rest of the world. We must make good use of the unique strengths of overseas Chinese and their families, continuously enhance the cohesion of all Chinese sons and daughters, and work together with one heart to create a glorious future.

Since last year, significant progress has been made in national defense and military development. In the fight against the epidemic, the People’s Armed Forces have demonstrated their fine qualities—obedience to the Party’s command, prompt response to orders, and willingness to shoulder heavy responsibilities. We must thoroughly implement Xi Jinping’s Thought on Strengthening the Military and the military strategic guidelines for the new era, and uphold the principles of political building of the military, strengthening the military through reform, bolstering the military with science and technology, cultivating talented personnel for the military, and governing the military according to law. We must firmly uphold the Party’s absolute leadership over the People’s Armed Forces and strictly enforce the system of responsibility vested in the Chairman of the Central Military Commission. We must resolutely safeguard the country’s sovereignty, security, and development interests. We must wage a tough battle to ensure the successful implementation of the 13th Five-Year Plan for military development and begin drafting the 14th Five-Year Plan for military development. We must deepen reforms in national defense and the military, enhance logistical and equipment support capabilities, and promote innovation and development in national defense science and technology. We must improve the national defense mobilization system and always ensure that unity among the military, government, and people remains as solid as a rock.

We must fully and accurately implement the principles of “one country, two systems,” “Hong Kong people administering Hong Kong,” “Macao people administering Macao,” and a high degree of autonomy. We should establish and improve the legal framework and enforcement mechanisms for safeguarding national security in the special administrative regions, and ensure that the SAR governments fulfill their constitutional responsibilities. We will support Hong Kong and Macao in developing their economies, improving people’s livelihoods, and better integrating into the broader context of national development, thereby maintaining the long-term prosperity and stability of Hong Kong and Macao.

We must uphold the overarching principles and policies for Taiwan-related work, and firmly oppose and curb “Taiwan independence” separatist activities. We should refine institutional arrangements and policy measures that promote cross-Strait exchanges and cooperation, deepen integrated development across the Strait, and safeguard the well-being of Taiwan compatriots. By uniting the broad masses of Taiwan compatriots to jointly oppose “Taiwan independence” and advance national reunification, we will surely usher in a bright future for the rejuvenation of the Chinese nation.

To address global challenges such as public health crises and severe economic downturns, countries must join hands and work together. China will strengthen cooperation with all nations on epidemic prevention and control, promote global economic stability, advance global governance, safeguard the international system centered on the United Nations and the international order based on international law, and foster the building of a community with a shared future for mankind. China remains firmly committed to the path of peaceful development, deepening its friendly cooperation with all countries through further opening up. China has always been an important force in promoting world peace, stability, and common development and prosperity.

Distinguished delegates!

The Chinese nation has always been unafraid of hardships and obstacles. Today’s Chinese people possess the firm resolve and capability to overcome any challenge. We must unite even more closely around the Party Central Committee with Comrade Xi Jinping at its core, hold high the great banner of socialism with Chinese characteristics, and take Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era as our guiding principle. We must meet difficulties head-on, forge ahead with vigor and determination, coordinate and promote both epidemic prevention and control and economic and social development, and strive to achieve our annual goals and tasks. Let us tirelessly strive to build our country into a strong, democratic, civilized, harmonious, and beautiful modern socialist power and to realize the Chinese Dream of the great rejuvenation of the Chinese nation!