In his last delivery of a government work report as China's premier, Wen Jiabao made suggestions to the succeeding government at the country's annual legislative session on March 5, based on an understanding of the work of the past 10 years, especially of the past five years. Edited excerpts follow.
Change of the Growth Model
The difficulty in—and key to expanding—domestic demand lie in consumption, and that is also where the potential lies. To expand individual consumption, we should enhance people's ability to consume, keep their consumption expectations stable, boost their desire to consume, improve the consumption environment and make economic growth more consumption-driven.
In the current stage, the role investment plays in promoting economic growth cannot be underestimated. China has both investment capability and investment demand, but the key is to make investment in the needed sectors, optimize the structure of investment, and improve its performance and returns. Government investment is important in guiding non-government investment, but its share of the country's total investment is decreasing, so we must further relax controls over market access for non-government investment and stimulate it.
We must accelerate the transformation and upgrading of traditional industries, energetically develop new- and high-tech industries, and raise product quality and competitiveness.
We should promote sound development of strategic emerging industries, with the focus on expanding their share in the domestic market and making breakthroughs in major and key technologies.
We should develop and expand the service sector, and attach equal importance to producer and consumer service industries and to modern and traditional service industries.
We should adhere to the basic state policy of conserving resources and protecting the environment and endeavor to promote green, circular and low-carbon development.
We should greatly boost the conservation and reuse of energy and resources, give priority to saving energy in industry, transportation and construction and in public institutions, restrict total energy consumption, and reduce energy and materials consumption and carbon dioxide emissions. We should speed up adjusting the economic structure and distribution and upgrading related standards, practices, and laws and regulations. We should adopt effective measures to prevent and control pollution and change the way we work and live. We should resolve to solve the problems of serious air, water, and soil pollution that affect the people's vital interests; improve environmental quality, and safeguard people's health, and give the people hope through our concrete action.
We should strengthen comprehensive marine management, develop the marine economy, become better able to exploit marine resources, protect the marine ecological environment, and safeguard China's maritime rights and interests.
We should continue to fully implement the master strategy for regional development and promote balanced development between regions.
Deepening Reform and Opening up
We should unwaveringly consolidate and develop the public sector of the economy and encourage, and support and guide the development of the non-public sector, so as to foster a structural environment in which economic entities under different forms of ownership have equal access to factors of production in accordance with the law, compete on a level playing field and enjoy equal legal protection.
We should ensure that the people occupy the principal position, make people's democracy more extensive, fuller in scope and sounder, ensure that the people enjoy extensive rights and freedoms prescribed by law, and promote people's well-rounded development. We should govern the country on the basis of the law, and fully respect the authority of the Constitution and laws. We should ensure that the powers of policy making, implementation and oversight both constrain each other and function in concert and that government bodies exercise their powers in accordance with statutory mandates and procedures. We should continue to transform government functions, separate government administration from the management of enterprises, state assets, public institutions and social organizations, and build a well-structured, clean, efficient and service-oriented government that has scientifically defined functions and that the people are satisfied with.
We should adhere to the basic state policy of opening up and implement a more proactive opening-up strategy.