Premier Li Qiang delivers the government work report at the opening meeting of the second session of the 14th National People's Congress at the Great Hall of the People in Beijing yesterday. Xinhua

Premier Li Qiang delivered the Chinese government work report to the national legislature for deliberation, which began its annual session yesterday. The following are some of the highlights of the report.

Fiscal policy

China will implement prudent monetary policy in a flexible, appropriate, targeted, and effective way while making efforts to enhance the underlying stability of the capital market. Efforts will be made to promote a steady decline in overall financing costs and maintain the renminbi exchange rate generally stable at an adaptive, balanced level.

Urban jobs

China will strengthen measures to promote the employment of young people and improve guidance for them to find jobs or start businesses.

The country will apply a combination of measures to ensure stability in employment and promote income growth.

The number of college graduates is expected to surpass 11.7 million this year.

China will enhance its capacity of medical and health services, improve social security and services, and pursue a proactive national strategy in response to population aging. The private pension system will be implemented nationwide.

Deficit-to-GDP ratio

China has set its ratio of deficit to GDP at 3% for 2024, with the government deficit to rise 180 billion yuan from the 2023 budget figure.

It is expected that fiscal revenue will continue to resume growth this year, and the general public budget expenditure will likely be 28.5 trillion yuan, increasing 1.1 trillion yuan from that of last year.

Bonds

China will issue ultra-long special treasury bonds over each of the next several years for the purpose of implementing major national strategies and building up security capacity in key areas, starting with 1 trillion yuan of such bonds this year.

China will see 3.9 trillion yuan of special-purpose bonds for local governments be issued in 2024, 100 billion yuan more than last year.

New quality productive forces

China will strive to modernize the industrial system and develop new quality productive forces at a faster pace.

The report listed a series of tasks in this respect, including industrial and supply chain improvement and upgrades, and the cultivation of emerging industries and future-oriented industries such as hydrogen power, new materials, biomanufacturing, commercial spaceflight, quantum technology, and life sciences. Innovative development of the digital economy will be promoted, with an AI Plus initiative to be launched. The country will consolidate and enhance its leading position in industries such as intelligent connected new-energy vehicles.

Technology

China will step up research on disruptive and frontier technologies. Efforts will be made to invigorate China through science and education and consolidate the foundations for high-quality development.

It will enhance its capacity for original innovation and cultivate more first-class scientists and innovation teams.

Consumption

China will expand domestic demand and integrate the strategy of expanding domestic demand with efforts to deepen supply-side structural reform. It will promote steady growth in consumption spending and launch policies to promote digital, environmentally friendly, and health-related consumption. It will also boost spending on intelligent connected new-energy vehicles, electronic products, and other big-ticket items. The country will launch a yearlong program to stimulate consumption.

It will also increase effective investment. This year, 700 billion yuan will be earmarked in the Central Government budget for investment.

Foreign enterprises

China will implement measures to ensure the national treatment for foreign-funded enterprises.

To pursue higher-standard opening up and promote mutual benefits, the country will promote alignment with high-standard international economic and trade rules, and steadily expand institutional opening up.

More efforts will be exerted to attract foreign investment. All market access restrictions on foreign investment in manufacturing will be abolished, and market access restrictions in services sectors, such as telecommunications and health care, will be reduced.

Work will also be done to make China a favored destination for foreign investment and solid progress will be pursued in high-quality Belt and Road cooperation.

State-owned enterprises, private enterprises, and foreign-funded enterprises are all important forces in China's modernization, the report said.

China will work to spur dynamism in all kinds of market entities, build more world-class enterprises, and fully implement guidelines on facilitating the growth of the private sector and supporting measures.

China will formulate standard guidance to accelerate the construction of a unified national market.

The standardization of rules and institutions will be stepped up in property rights protection, market access, fair competition, social credit, and other areas.

Taiwan issue

China resolutely opposes "Taiwan independence" separatist activities and external interference, and promotes the peaceful development of cross-Strait relations.