To stabilize investment in high-tech industries, we need to focus on key areas and weak links. We must increase investment in key core technologies and basic research, and open up a green channel linking basic scientific research with innovation in applied technologies. In addition, it is necessary to constantly stimulate the vitality of private investment, strengthen the leading role of enterprises in innovation, and promote the diversification of investment in basic scientific research at the national level.

China's GDP grew 8.1 percent in 2021, according to a series of economic data released by the National Bureau of Statistics. The data also showed that the added value of China's high-tech manufacturing industry grew by 18.2 percent in 2021, 8.6 percentage points faster than that of industries above designated size, with high-tech manufacturing playing a prominent leading role.

At present, the international situation is complex and severe, and China's economic development is facing the triple pressure of demand contraction, supply shock and weakening expectations. It is urgent to take positive measures to expand effective investment, so as to stabilize the macro economy and support high-quality economic and social development. Analysis of economic data in 2021 shows that the high-tech industry is developing rapidly, with prominent highlights and huge investment space. It is in line with the trend and demand of economic and social development. Investment in the high-tech industry can be regarded as an important driving force to stabilize investment.

To stabilize investment in high-tech industries, we need to focus on key areas and weak links.

At present, the upgrading of economic structure and urbanization have brought about a large number of new digital infrastructure needs, which is one of the key areas and an important growth point for the future development of high-tech industry. New infrastructure, such as 5G network and data center, will build the base of digital economy and provide convenient digital services on demand and on demand. From smart cities to unmanned factories, from smart agriculture to telemedicine, from fintech to autonomous driving, the integration and application of various technologies in new infrastructure are everywhere, stimulating more economic vitality and unleaging more consumer demand.

At the same time, some weak links in China's high-tech industry are also very obvious. True core technology can't be bought. Some countries have curbed China's scientific and technological development and prevented China from mastering cutting-edge technologies and products. Some key and core technologies have yet to be made breakthroughs. Technological development in integrated circuits, key components and materials cannot meet the needs of industrial development, and channels for commercialization of scientific and technological achievements have yet to be unimpeded. To stabilize investment in high-tech industries, we must increase investment in key core technologies and basic research, and open up a green channel linking basic scientific research with applied technological innovation. Only in this way can we provide a steady stream of new impetus for high-quality development of China's economy.

To stabilize investment in high-tech industries, we will continue to stimulate the vitality of private investment.

In 2021, r&d investment and profits in some manufacturing sectors reached new highs in recent years. This is a welcome trend, which will help increase the enthusiasm of the private sector to invest in high-tech industries and enable more private capital to become an important force for stabilizing investment.

To stimulate the vitality of private investment, we need to strengthen the role of enterprises as the main players in innovation, and make them the main players in technological innovation decision-making, r&d investment, scientific research organization and achievement transformation. Whether the enterprise becomes the subject of innovation depends on whether the enterprise plays the role of question maker in major planning and task simplification, the role of organization and coordinator of all parties involved in the research of key products, and the role of technology acceptor in the transformation of achievements. In these areas, governments at all levels must continue to deepen reform and make comprehensive efforts in policies, regulations, institutions and social atmosphere to create an environment conducive to enterprises' scientific and technological activities and innovation activities.

To stimulate the vitality of private investment, we should also promote the diversification of investment in basic scientific research at the national level, and encourage enterprises, social groups, public funds and other social capital to invest in basic scientific research by increasing tax incentives. We will continue to remove institutional barriers preventing private capital from entering key areas and encourage it to focus on major national strategies and projects to strengthen weak links. Local governments should be encouraged to establish a mechanism for compensating private enterprises for loan risks, carry out "bank-tax interaction", and increase financing support for private investment in high-tech industries.

Investment structure influences and even decides the economic structure and industrial structure. Steady investment in high-tech industries will not only foster new areas of economic growth and boost steady growth, but also improve the industrial structure and make economic development more healthy and sustainable.

Source: State-owned Assets And Administration Commission of The State Council