The Political Bureau of the CPC Central Committee recently held a meeting to analyze the current economic situation and plan economic work for the second half of the year. How to correctly understand the current economic situation, and how to better implement the spirit of the conference to promote sustained economic improvement? Around the relevant issues of social concern, the reporter interviewed the main responsible comrades of the National Development and Reform Commission.

In the second half of the year, China's economy will maintain a stable and good trend

Q: We have noticed that some economic indicators have slowed down or fluctuated since the second quarter. How do you view the economic trend in the second half of the year?

A: After three years of the impact of the novel coronavirus epidemic, the economic recovery will be a process of wavy development and zigzag progress, with fluctuations in some economic indicators. At present, China's economic operation is facing new difficulties and challenges both at home and abroad, weakening demand in the international market, accumulating risks in the global economic and financial fields, profound adjustments in the geopolitical landscape, and complex and severe external environment. Domestic demand is insufficient, some enterprises have difficulties in operation, and there are hidden risks in some areas.

First, the foundation for development has become more solid. China's economic scale has exceeded 120 trillion yuan, with a complete industrial system, rich high-quality human resources, convenient hardware and software infrastructure network, security capabilities continue to improve, and economic resilience to risks steadily enhanced. Second, market potential has been continuously released. China is the world's largest consumer market with the greatest potential. Its huge population base and improving population quality continue to expand market growth. There is strong demand for investment in public services and infrastructure. By combining the implementation of the strategy of expanding domestic demand with the deepening of supply-side structural reform, the advantages of the ultra-large market will be further demonstrated. 3) The transformation of old growth drivers into new ones was accelerated. We are making steady progress in transforming traditional industries into high-end, intelligent and green industries. The integrated development of advanced manufacturing and modern service industries is accelerating. Strategic emerging industries are growing at a faster pace. Fourth, the vitality of development has been strengthened. The reform in key areas and key links has been comprehensively deepened, the level of opening up has been steadily improved, and the space expansion and potential release of the domestic market will continue to stimulate the vitality, motivation and creativity of business entities. Fifth, policy effects continue to emerge. The Central Committee of the CPC Central Committee and The State Council accelerated the implementation of a series of policies to expand domestic demand, strengthen the entity, and prevent risks. Stock measures and incremental policies worked together to promote high-quality development, and the joint force was further strengthened. In the second half of the year, China's economy will maintain a stable and good trend on the basis of sustained recovery in the first half of the year.

All in all, we have the confidence, conditions and ability to continue to improve the economic structure, strengthen growth drivers, continue to improve the momentum of development, and achieve high-quality economic and social development targets for the year.

We exercised precise and effective macro-control

Q: Faced with insufficient domestic demand, difficulties in the operation of some enterprises, and risks and hidden dangers in some sectors, in what areas will the macro-control policy focus on in the next stage?

A: The meeting of the Political Bureau of the CPC Central Committee made systematic arrangements for economic work in the second half of the year. We will focus on the primary task of high-quality development and the strategic task of building a new development pattern, and do our best to implement the work in the following five areas.

First, we sought progress while maintaining stability and consolidated the momentum of economic recovery. We will continue to implement a proactive fiscal policy and a prudent monetary policy, strengthen policy coordination and coordination, well implement policies and measures to promote sustained economic recovery, strengthen counter-cyclical adjustment, keep policy reserves in place, and introduce more targeted and stronger policies and measures in a timely manner in response to changes in the situation. Create a good policy environment for the development of enterprises and lay a solid foundation for sustained economic growth.

Second, adhere to self-reliance and accelerate the development of a modern industrial system supported by the real economy. We will focus on the real economy, build long boards and strengthen weak ones, vigorously enhance our capacity for scientific and technological innovation, accelerate the transformation and upgrading of traditional industries, foster and strengthen strategic emerging industries, create more pillar industries, promote the high-quality development of advanced manufacturing, and further improve the resilience and safety of industrial chains and supply chains.

Third, adhere to reform and opening up, and effectively stimulate the vitality and internal impetus of business entities. We will focus on key areas and key links that "affect the whole body" and intensify reform efforts. Adhere to the "two unswerving", accelerate the optimization of the layout and structural adjustment of the state-owned economy, and promote the development and growth of the private economy. We will steadily expand institutional opening up, make greater efforts to attract and utilize foreign investment, and promote high-quality development along the Belt and Road.

Fourth, adhere to the bottom-line thinking and effectively prevent and defuse internal and external risks and challenges. We will make systematic plans and take precise measures to prudently handle and defuse risks and hidden dangers in real estate, local debt, and finance, vigorously improve our ability to ensure food, energy and resources security, and firmly safeguard the bottom line against systemic risks.

Fifth, we put the people first and did a solid job in improving people's wellbeing. We will address major problems in employment and other areas of public concern, accelerate efforts to improve the supply of public services such as elderly care, childcare, education, and medical care, strengthen the social safety net, strengthen oversight of work safety, and strengthen disaster prevention, mitigation, and relief, and continue to improve people's living standards.

We will transform the growth model and adjust the structure of the real economy to create more growth drivers

Q: Many enterprises have complained of difficulties in production and operation and lack of capacity in the process of transformation and upgrading. How can we take effective measures to ease difficulties in the real economy and speed up the building of a modern industrial system?

A: The real economy is the foundation of a country's economy. In the second half of the year, we will accelerate the implementation of policies to help enterprises, promote the real economy to change the model, adjust the structure, increase momentum, and accelerate the construction of a modern industrial system.

The first is to increase the liquidation of arrears, especially small and medium-sized enterprises. We will speed up efforts to solve the problem of government debts owed to enterprises, strictly implement the regulations on safeguarding payment of small and medium-sized enterprises, implement the information disclosure system for overdue payment of small and medium-sized micro enterprises by government organs, public institutions and large enterprises, and promote the solution of mutual arrears among enterprises.

Second, take comprehensive measures to help enterprises reduce the burden and increase efficiency. Continue to optimize and improve and implement the policy of tax and fee reduction, prohibit excessive taxes and fees and arbitrary charges and fines and assessments, promote the stable and steady decline of comprehensive financing costs for enterprises, and provide diversified financial services for the full life cycle of technology enterprises. A number of characteristic industrial clusters of small and medium-sized enterprises will be cultivated in counties throughout the country.

Third, we will strengthen the dominant position of enterprises in scientific and technological innovation. We will give full play to the leading and supporting role of backbone enterprises in science and technology, create a good ecology conducive to the growth of small, medium-sized and micro enterprises in science and technology, cultivate more specialized and new small and medium-sized enterprises, accelerate the training of high-quality talents that meet the needs of the industry, strengthen the construction of a team of highly skilled talents in the new era, and promote the deep integration of the innovation chain, industrial chain, capital chain, and talent chain. We will encourage more enterprises to take the lead in and participate in the research and development of key core technologies, and accelerate the development and application of cutting-edge technologies.

Fourth, we will accelerate the transformation and upgrading of traditional industries. We will support qualified enterprises in scientific transformation in accordance with market development, comprehensively promote the upgrading of high-end, intelligent, and green manufacturing systems, steadily advance intelligent manufacturing actions, and orderly implement energy conservation and carbon reduction in key industrial areas. We will vigorously develop modern service industries and build a new system of high-quality and efficient service industries. We will thoroughly implement the strategy of storing grain on the ground and using technology, promote the revitalization of the seed industry, and strengthen support for agricultural science and technology and equipment.

Fifth, we will accelerate the cultivation and growth of strategic emerging industries. We will fully implement the national project to develop strategic emerging industrial clusters, promote the deep integration of the digital economy with advanced manufacturing and modern service industries, vigorously develop artificial intelligence, new materials, and new energy industries, and plan and develop a number of future industries.

At the same time, we will further improve the regular communication mechanism between government departments and private enterprises, state-owned enterprises, foreign-funded enterprises, manufacturing enterprises and other enterprises, listen to the real situation of enterprise operation and development, study and put forward practical and effective policies and measures, and do our best to help enterprises solve practical difficulties, so that the government and enterprises can work together to promote high-quality economic development.

Source: Xinhua