Central Government Sets China'S Economy In 2022

The Political Bureau of the CPC Central Committee held a meeting on December 6 to analyze and study the economic work in 2022. The meeting set the tone on how China's economy will do in 2022, including some new suggestions, which release important signals and deserve attention.

　 Next year's economic work should be steady and steady

How to do economic work next year? The general tone is important. The meeting stressed that next year's economic work should be carried out in a steady manner and progress should be made in a steady manner.

Compared with the previous year's "seeking progress in stability", this time there are four more words: "stability is the first". What's the signal?

Observers believe that more emphasis on stable growth is a realistic requirement under the new downward pressure of China's economy.

The economic Blue Book: analysis and forecast of China's economic situation in 2022, released on December 6, pointed out that in 2021, under the situation of normalization of epidemic prevention and control, China's economy as a whole shows a good recovery trend, but in the uncertain and unstable epidemic situation and external environment, the economic downward pressure has increased, and there are more risks and challenges to maintain the smooth operation of the economy. China's economy is expected to grow by 8.0% in 2021 and 5.3% in 2022.

Xu Hongcai, deputy director of the economic policy committee of the China Society for policy science, said that the current downward pressure on the world economy is relatively large, and so is the Chinese economy. Therefore, to curb the downward trend, we must pay more attention to stable growth. In particular, the world economy is expected to slow down next year, and external demand will shrink. The good days of China's foreign trade growth of more than 20% this year may be difficult to reappear next year. Therefore, we should make progress in stability, strive to achieve high-quality development, and calmly deal with the current and future challenges at home and abroad.

　　 Fiscal policy pays more attention to precision and Sustainability

The meeting stressed that macro policies should be stable and effective, and that active fiscal policies and prudent monetary policies should continue to be implemented. Positive fiscal policies should enhance efficiency and pay more attention to accuracy and sustainability. A prudent monetary policy should be flexible and moderate, and maintain reasonable and sufficient liquidity.

Active fiscal policy and prudent monetary policy have not changed. However, the fiscal policy clearly "pays more attention to precision and sustainability", which in the external view means that the focus has changed.

Xu Hongcai believes that "precision" means more targeted regulation and control and "drip irrigation", focusing on the key and weak links such as small and micro enterprises, agriculture, rural areas, and people's livelihood; "Sustainable" means that we should do what we can, not over leverage, prevent too much debt, and pay attention to risk prevention.

Feng Xuming, director of the Macro Policy Research Office of the Institute of quantitative economy and technological economy, Chinese Academy of Social Sciences, said that under the current downward pressure on the economy, fiscal policy needs to continue to maintain its positive strength and improve its efficiency. On the one hand, we should continue to maintain an appropriate deficit scale and appropriately move forward the pace of fiscal expenditure; On the other hand, it is necessary to optimize the structure of financial expenditure, increase support for the construction of "two new and one heavy", technological transformation, production capacity greening, etc. through financial expenditure, we should help the supply side to consolidate the capital and cultivate the yuan. At the same time, we should expand the supply in the fields of education, culture, sports, pension, medical and other public services to improve the quality.

　　 Realize the virtuous circle of science and technology, industry and Finance

The meeting stressed that the implementation of science and technology policies should be accelerated, key core technologies should be tackled, national strategic scientific and technological forces should be strengthened, and the dominant position of enterprises in innovation should be strengthened, so as to realize a virtuous circle of science and technology, industry and finance.

Xu Hongcai pointed out that to realize the virtuous circle of science and technology, industry and finance, it is necessary to change the fragmented state of the three in one and form linkage. Scientific and technological innovation can't be overemphasized, industrial transformation and upgrading can't be strengthened too much, and financial services can't be improved at multiple levels and the effectiveness of financial services can't be overemphasized. However, it's the first time that the three forms linkage and smooth circulation.

Chen Daofu, deputy director of the Financial Research Institute of the development research center of the State Council, recently publicly stated that China has come to a critical period in which industry, science and technology and finance need to be transformed into a virtuous circle. The establishment of such a cycle is related to the quality and efficiency of China's development in the new era, It could be the key to the future.

Chen Daofu believes that in order to realize the virtuous circle among science and technology, industry and finance, it is necessary to "see" and "understand" each other. Compared with other fields, many outstanding achievements in science and technology, industry and finance are equivalent to "black box". Therefore, in order to support scientific and technological innovation, finance should first "see" scientific and technological achievements, understand them and evaluate their potential market value in the future. At this time, a bridge is needed to connect technology and industry, or technology and finance, or industry and finance.

(source: China News Network)