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Five-Year Plan (12th)

Part I: Transforming growth pattern, create a new scenario for scientific development Chapter 1: Development Environment

Given the great achievements of social development that we have attained in the last five years, the 11th Five Year Plan period is indeed extraordinary. In face of the complex changes and major risks both at home and abroad, the whole nation are united. Under the leadership of the Central Committee of the Communist Party of China (CPC), “Strive to Develop” has been attached great importance. Through implementing theories and policies of CPC and conducting the most effective macroeconomic regulation, we fully give full play to the socialist mechanism as well as to the market in terms of allocating resources. As a result, historical changes have occurred to our nation. We have not only effectively addressed the negative impacts caused by the global financial crisis but also maintained a rapid and stable economic development, which has laid a solid foundation for the sustainable development in the future. We successfully held the Beijing Olympic Games and the Shanghai World Expo. We have achieved the major objectives set in the 11th Five Year Plan. With five -year hard work, the national GDP and competitiveness have significantly enhanced. People have enjoyed a relatively high living standard, which has given a boost to China’s international status and influence. Tremendous achievements have been made in various aspects including construction of socialist economy, socialist politics, socialist culture, and ecological civilization. The new chapter of socialism with Chinese characteristics has been written. Having said that, our success does not come easily and the experiences we have gained are precious. The aspirations we have had are profound and lasting.

The current world is characterized of continuous complex changes, which may last for a while. Based on the judgment of both domestic and international situations, China is still in an important period of strategic opportunities during which there is a great deal China can achieve, and it is faced with both precious historic opportunities and plenty of foreseeable and unforeseeable risks and challenges. We should strengthen our awareness of the opportunities and challenges ahead. A good understanding of law of development, better adaptation to the environment, appropriate reconciliation of a variety of conflicts can put forward the endeavour of opening-up and reform as well as socialist modernization drive. In face of multi-polarity, deepening economic globalization, new changes in global economic political system, breakthroughs in technological innovation and that international tide remains peace, cooperation and development; China could embrace the general international environment which makes for the nation’s stable development. Meanwhile, international financial crisis still poses its profound impacts on global economy, slowing down the world’s economic growth; the global demand structure also appears salient changes, with competition more intensively focusing on market, resources, talented people, technologies and standards; global issues such as climate change, energy security and food safety are becoming protruding; protectionism in various forms has been increasing. Under the scenari o, China’s external international environment has proved to be more complicated. China is to locate its positioning in international economic division of labour and to facilitate international economic cooperation as well as to and create its new advantages in global competition.

Domestically speaking, China is experiencing industrialization, informationization, urbanization, marketization and further internationalization, with a stable growth in per capita national income. China is also undergoing an accelerated transformation of economic structure and a huge potential in market demand, enjoying abundant capital supply, an increase in the capacity of technology and education, an enhancement in the quality of labours and a gradual improvement of infrastructure. Dynamics in structure is conspicuously

Five-Year Plan (12th)

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