The curtain has come down on the annual sessions of the National People's Congress (NPC) and the National Committee of the Chinese People's Political Consultative Conference (CPPCC) in Beijing. The meetings deliberated and approved the Report on the Work of the Government and other important reports, summarized significant achievements and lessons learned in the past five years, identified key tasks and charted the directions for the next five years.

In his report on the work of the government, Premier Wen Jiabao pointed out that in the past five years, China saw remarkable progress in carrying out reform and opening up and in building a moderately prosperous society in all respects. "During this time the productive forces and overall national strength were significantly improved, social programs were comprehensively developed, people received even greater benefits and China's international standing and influence constantly grew," he said.

Lawmakers at the NPC also elected and appointed new leaders. Hu Jintao was reelected president of the People's Republic of China and chairman of the Central Military Commission and Xi Jinping was elected vice president. The NPC approved Wen Jiabao as premier of the State Council for another five-year term. Wu Bangguo was also reelected chairman of the Standing Committee of the 11th NPC.

The reform of bodies of the State Council was the highlight of the NPC and CPPCC sessions, and has received extensive attention from home and abroad. The core of the reshuffle is the establishment of five "super ministries" with integrated functions-the Ministry of Industry and Information, the Ministry of Human Resources and Social Security, the Ministry of Environmental Protection, the Ministry of Housing and Urban-Rural Construction and the Ministry of Transport.

As a result, 15 existing government departments were restructured and four were eliminated. The guiding principles of the reform are: building a service-oriented government, optimizing the organizational structure, standardizing department structures and improving the operational system. The government has taken a big stride in deepening the administrative reform, which is seen as an important part of the reform of China's political institutions. The latest reform is not only a reshuffle of government departments, but also a shift in governing philosophy.

The next five years are a crucial period in the building of a moderately prosperous society in all respects. It will be a time rife with opportunities as well as challenges. Signs in the first quarter suggest that 2008 is one of the most difficult years for the Chinese economy in the recent decades. The economic situation is vulnerable to internal and external uncertainties. Internationally, the negative impact of the subprime mortgage crisis in the United States is increasingly felt; domestically, consumer prices have been climbing, and the inflationary pressure is increasing. The snowstorms that devastated south China in January have made it more difficult to curb price hikes. China is also confronted with serious challenges in energy and environment sectors.

At a press conference held after the conclusion of the NPC session, Premier Wen said that in the next five years, the government will work hard to promote economic growth in China, improve people's living standards and push ahead social development. In this issue we examine the new cabinet's promises to the people and its future work plans.