This article, the fourth in a series on implementation of the Central Economic Working Conference, is written by the Shaanxi provincial Party committee and the provincial people's government. It runs in full as follows:

Stress on Displaying Comparative Superiority, Earnestly Solving Outstanding Problems

Since the beginning of this year, we have comprehensively implemented the series of major decisions taken by the Party Central Committee on expanding domestic demands, instituting an active financial policy and readjusting the economic structure, and have maintained an appropriate, rapid economic growth for the province under the circumstance of many difficulties and contradictions, the gross domestic product (GDP) is expected to reach 8.4 percent this year.

(1) Always grasping increased agricultural production, more income for farmers and rural stability as a major matter affecting the whole situation. Seizing the principal contradiction of drought and water shortage, we have energetically popularized the experiences gained in water control by the masses in "Nantang, Beijiao and Guanzhongjing" and agricultural technology for dry farming. In the Hanyuan region last year, mulch film wheat was sown over 2.48 million mu (15 mu = one hectare) of farmland which gave an added yield of about 90 kg per mu on the average. The sowing of this fall was expanded to 4 million mu. We have actively readjusted the industrial structure of agriculture and promoted the industrial management of agriculture focused on apples. As a result, the province's apple output hit 4 billion kg this year, the total income from the industry is expected to exceed 10 billion yuan. Through carrying out the various basic policies of the Party for rural areas, 98 percent of the province's farming households have signed a new round of land extended contracts. We have summed up and popularized experiences such as small-amount credit relief for impoverished individual households, this year there have been 500,000 poor people in 17 counties who have got over the line of having enough food and clothing. We have intensified efforts to reduce farmers' burden and, starting from provincial-level departments, we have thoroughly sorted out documents concerning farmers' burden and comprehensively implemented the policy which stipulates that specified items and fixed quotas must be kept unchanged for three years.

(2) Earnestly solving outstanding problems confronting State-owned enterprises (SOEs), pushing forward strategic readjustment and regrouping. The province has a total of 484 large and medium-sized State-owned, and State-owned holding industrial enterprises. We have first gone all out to take aim at the first-phase target for the reform and development of SOEs. Between January and September this year, the loss amount of 237 large and medium-sized State-owned losing enterprises dropped by 34.8 percent from the same period last year, 57 units are expected to extricate themselves from difficulties at the end of this year, another 70 enterprises have been listed in the plan for getting out of difficulties next year. In this way, the area covering losing enterprises will fall below 25 percent by 2000. By the end of this year, 100 enterprises will be able to complete reform in line with a relatively standard corporate system, another 100 businesses can initially establish a modern enterprise system next year. We have organized 10 enterprise groups. After reducing spindles and downsizing staff, the textile industry has basically lifted itself out of difficulties. After the 15th National Congress of the Party, we took two decisions-liberalizing and invigorating small State-owned enterprises and developing non-publicly owned economies. A total of 4,300, or over 80 percent of small SOEs in the province have completed the transformation of the operational mechanism.

(3) Accelerating construction of key infrastructure projects, alleviating "bottle-neck" restriction. The province's fixed asset investment came to 54.5 billion yuan last year, which brought about an economic growth of 4 percentage points. This year's investment is expected to reach 63 billion yuan. Of the 111key projects under construction, 40 have been completed and put into operation, 18 new projects will start construction on schedule.

(4) Giving play to the superiority of science and education, striving to bring about a leap-type development in certain spheres. Our province currently boasts 111 provincial- and ministerial-affiliated scientific research institutes, 43 institutions of higher learning and 851,000 specialized technicians, preliminarily forming a central Shaanxi high and new technological industrial development belt led by the three State-level high and new technological industrial development zones (Xi'an, Baoji and Yangling). We have formulated a series of policies and measures on deepening the reform of scientific and technological system and speeding up the industrialization of science and technology. We have stressed the integration of the industrialization of science and technology with readjustment and optimization of the economic structure. The 20 major high and new technological industrialized development projects our province has implemented this year have made phased progress, we have arranged 40 key technological renovation projects, involving a total investment of 10 billion yuan.

(5) Expanding the tourist industry to bring about a rapid development of the tertiary industry. Starting with in-depth institutional reform, we have broken through the barriers between departments and regions, organized the Shaanxi Provincial Tourist Group Company, and introduced market-oriented operation of the tourist industry. In the first nine months, income from domestic tourism increased by 18.5 percent over the same period last year, the number of overseas tourists we received increased 22.1 percent.

Our province is faced with many difficulties and problems affecting its economic development, These mainly include: the economic aggregate is small, structural contradictions are prominent, the pillar industries and competitive products that can provide financial sources and accumulations are comparatively weak, pressure on the re-employment of workers laid off from SOEs is very great, investment, consumption and export demands need to be further started up. In next year's economic work, we should thoroughly carry out the spirit of the Fourth Plenary Session of the 15th CPC Central Committee and the Central Economic Working Conference, striving for a 9 percent GDP increase. To achieve this, we should, first, try every possible means to achieve the goal of accomplishing the reform of SOEs and lifting them out of difficulties in three years, and continue to do a good job in guaranteeing the basic livelihood and re-employment of SOE laid-off workers. Second, we should always place agriculture in the first position of economic work, control water and soil erosion, speed up the process of industrial management of agriculture and guarantee increased agricultural production and increased income for farmers. Third, we should energetically push forward scientific and technological progress and technological innovation, accelerate in selected areas the industrialization of high and new technologies and the technical renovation of traditional industries. Fourth, we should further speed up construction of infrastructure facilities and basic industries, and strive for a bigger growth in the total amount of fixed asset investment of society. Fifth, we should adopt comprehensive measures, synthesize construction of small cities and towns, reform the housing system and develop the tourist industry, cultivate new hot spots of consumption so as to boost the growth of consumption.

Based on the Present, Looking Forward to the Future, and Making Every Preparation for the Large-scale Development of the Western Region

We have conscientiously studied the important speeches given by General Secretary Jiang Zemin and several other central leading comrades, we have been implementing the strategy for the large-scale development of the Western region, formed some preliminary ideas and have begun doing some work.

(1) We have carried out conscientious study, enhanced understanding and unified our thinking in identity with the essence of the decision of the Party Central Committee and Comrade Jiang Zemin's instruction. Through study, we have further mobilized the cadres and the masses at large, we have inspired our enthusiasm, engaged in pioneering work to make progress, carried forward the Yan'an spirit featuring self-reliance and hard struggle, and made mental preparations for the large-scale development of the western region.

(2) Standing from the high plane of the large-scale development of the western region, we should understand and do a good job in the various items of work relating to the current reform and opening and the modernization drive. These mainly include the following: 1. Implementing the beautiful landscape project, restoring reclaimed land to forests (grasslands), closing hillsides to facilitate afforestation, relieving people in disaster areas by giving them grain instead of outright grant, adopting the method of individual contracting and controlling the 100,000 sq.m. area of soil erosion in our province in a planned and systematic manner. 2. Continuing to focus on communications, water conservancy and energy and accelerate construction of infrastructure facilities, thereby laying a solid foundation for the large-scale development. 3. Giving play to the advantage of science and education, boosting the optimization and upgrading of industrial and product structures, and comprehensively improving the qualities of all laborers. 4. Taking market as the orientation, developing characteristic economy and forming a batch of pillar industries and competitive products, including tourism, energy, electronics, medicine and fruit. 5. Strategically readjusting the distribution of the State-owned economy, perfecting the pattern of ownership and continuing to increase the proportion of non-publicly owned economies. 6. Giving a better play to the radiating and stimulating role of Xi'an as a key city, stepping up construction of nine medium-sized cities with respective characteristics in the province, accelerating construction of small cities and towns, and raising the province's urbanization level. 7. Creating a good investment environment, adopting flexible policies, providing good service, attracting more funds, technologies and personnel from outside and the eastern region to Shaanxi.

(3) Conducting thorough investigation and study, clearing the train of thought, and formulating rules. We have established the Shaanxi leading group for greeting the large-scale development of the western region, set up a special working body, drawn experts and scholars into participation, and conducted thorough investigation and study in connection with the formulation of the 10th five-year plan.