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UPDATED: 16:44, March 09, 2006
Abstract of the Eleventh Five-Year Plan outline (draft) -2
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The State Council has submitted the draft outline of the 11th Five-Year Plan for national economic and social development to the fourth session of the 10th National People's Congress for deliberation.

The outline was drafted according to CPC Central Committee proposal on the 11th Five-Year Plan for national economic and social development. Drawn to clarify national strategic intention, identify government work emphasis and guide market behavior, it is a grand blueprint for China's economic and social development in the next five years.

It is the common guidelines for all ethnic groups in China as well as the important basis for the government to carry out economic adjustment, market supervision, social administration and public service.

The draft outline comprises 48 chapters in 14 articles.

Building a resource-efficient and environment-friendly society

The draft outline proposes to implement the basic national policy of saving resources and protecting environment, building a circular and sustainable national economic system and a resource-efficient and environment-friendly society with low investment, low consumption and low discharge while achieving high output.

The outline emphasizes that urban sewage treatment rate will not be lower than 70 percent by 2010 and urban refuse decontamination rate not lower than 60 percent.

The outline requires improvement of water use license and water resource compensation system, establishment of state initial water right distribution system and water right transfer system. Land use approval and compensation system should be strictly implemented and mining-resource use compensation system, mine environment reclamation and compensation mechanism, and key resource reserve system should be improved.

Rejuvenating the country through science and education and strengthening the nation with talent

The outline suggests to implement the strategies of rejuvenating the country through science and education and strengthening the nation with talented people, making scientific and technological advancement and innovation an important driving force for economic and social development, putting education and training of quality talents at a prominent strategic position while striving to build an innovative country with rich human resources.

The outline emphasizes more education investment by ensuring higher financial expenditure for education so as to gradually increase the proportion of financial expenditure for education in GDP to 4 percent.

Deepening system reform

The outline proposes to deepen system reform, emphasizing transformation of government function and reform of enterprises, financial and taxation and banking; improve socialist system of market economy to form a mechanism that favors transformation of economic growth mode and pushes forward comprehensive, balanced and sustainable development.

The outline emphasizes reform of administrative system. A system of scientific decision-making, corresponding rights and responsibilities, reasonable responsibility, smooth execution and effective supervision will be established according to the principle of simplicity, unity and efficiency.

Deepen reform of state-owned enterprises, concentrate state-owned assets into key sectors and areas that concern the national security and economic life lines.

Promote reform of financial and taxation system, demarcate responsibility of financial expenditure of governments at various levels and reasonably adjust financial revenue allocation among governments.

Speed up the financial system reform, actively boost reform of state-owned commercial banks and reasonably define policy-based bank functions.

Accelerate development of direct financing, perfect financial regulatory mechanism and improve financial supervision system.

Implementing mutually beneficial and win-win opening up strategy

The outline proposes to implement mutually beneficial and win-win opening up strategy, insist on the basic national policy of opening up to participate in international economic and technological cooperation and competition in a larger scope, broader areas and at a higher level, better promote domestic development and reform and earnestly protect national economic security.

The outline proposes to swiftly change foreign trade growth mode, shifting from quantitative to qualitative growth. Trade in goods and service will reach $2.3 trillion and $400 billion respectively by 2010. It emphasizes improving the quality of foreign investment utilization through introducing advanced foreign technologies, management expertise and talents with foreign investment. It requires active international economic cooperation, especially economic and technological cooperation with neighboring countries to realize mutual benefit and win-win situation.

Building a harmonious socialist society

The draft outline points out that a harmonious society should be promoted on the principle of democratic rule of law, equity and justice, honest and friendliness, vitality, orderliness and harmonious coexistence, and by starting with the most direct and practical issues that concern the interests of the masses.

The outline emphasizes implementation of active employment policy, overall planning of urban and rural employment and striving to control the jobless scale.

Improve employment support system for disadvantaged regions, sectors and groups. Expand urban basic endowment insurance coverage and improve subsistence allowances system for the urban poor.

The outline emphasizes improving healthcare for the public, conscientiously solve the problems of difficult and expensive access to medical care for the public.

Deepen reform of medical care system and strengthen supervision of medical service behavior, quality and the medicine market; reduce excessively high medicine price and contain the hike of medical expenses.

Reinforcing construction of socialist democracy and politics

The draft outline proposes to reinforce construction of socialist democracy and politics, insist on an all-round development of political and material civilization, expand socialist democracy, improve legal system and provide political guarantee for the modernization construction.

The outline emphasizes insistence on and perfecting the people's congress system, the CPC (Communist Party of China)-led multi-party cooperation and political consultation system and the ethnic regional autonomy system, actively and steadily advancing reform of political system, consolidating the political situation characterized by democracy, solidarity, liveliness, stability and harmony.

Strengthening construction of socialist culture

The draft outline proposes to firmly control the direction of advanced culture in serving the people, serving socialism as well as letting a hundred flowers blossom and a hundred schools of thought contend so as to prosper the socialist culture and meet people's increasing demand for culture.

The outline emphasizes increase of government investment in cultural undertaking to gradually form a relatively complete public cultural service system that covers the whole society.

Continue to deepen reform of cultural system by setting up a self-regulated cultural management system and a vital cultural product producing and operating mechanism, led by Party committee leaders, managed by the government, operated by corporate and society with self-discipline and according to law,

Strengthening construction of national defense and the military

The draft outline proposes to strengthen construction of national defense and military modernization according to the requirement of safeguarding national security and unity and the development needs to create a good situation in which national defense and economic constructions are coordinated.

The outline requires to strengthen construction of a revolutionary, modernized and regularized military in an all-round way in order to effectively carry out historic mission in the new phase of the new century, actively promote military reform with Chinese characteristics and strive to raise the overall defense and combat capability of the military in the information era.

Establishing and improving implementation mechanism

The draft outline proposes to rely on the fundamental role of the market in resource allocation to realize the targets and tasks outlined in this plan under the circumstance that a socialist market system has been preliminarily formed. In the meantime, the government should properly deliver its duty by regulating and guiding social resources, reasonably allocating public resources and ensuring the smooth implementation of the plan.

By People's Daily Online

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