How will finance support high-quality development? On March 24, China’s Minister of Finance Lan Fo’an stated at the 2024 Annual Meeting of the China Development Forum that it would focus on five aspects of work.
First, support the accelerated development of new productive forces and inject strong momentum into high-quality development. Lan Fo'an said that developing new productive forces is an intrinsic requirement and an important focus to promote high-quality development. The characteristic of new productive forces is innovation. Lan Fo'an said that in recent years, the Ministry of Finance has insisted on giving priority to scientific and technological innovation as a key area. Driven by the guidance of fiscal funds, social R&D expenditures have ranked second in the world, with an average annual growth rate of more than 10%;
The second is to support the expansion of effective demand and enhance the endogenous power of development. Lan Fo'an said that in 2023, China's final consumption contribution rate will reach 82.5%, driving economic growth by 4.3 percentage points. Lan Fo'an said that in the next step, the Ministry of Finance will continue to organically combine the strategy of expanding domestic demand with deepening supply-side structural reform, expand effective investment, stimulate potential consumption, and enhance the role of domestic demand in driving economic growth.
The third is to support the improvement of people's livelihood and well-being and allow all people to share the fruits of development.
The fourth is to support the expansion of high-level opening up to the outside world and actively participate in global economic governance. "In today's era of economic globalization, there are no isolated islands, and openness is the only way to prosperity." Lan Fo'an said that the Ministry of Finance will strengthen international financial exchanges and cooperation and strengthen communication with major economies on macro policies. coordinate, practice true multilateralism, deepen practical cooperation with multilateral development institutions, meet each other halfway and achieve mutual success on the stage of open cooperation, and jointly promote global economic recovery and development.
The fifth is to deepen the reform of the fiscal and taxation system and enhance the capacity for sustainable development.
(Produced by Chi Hanyu, Lang Jiahui and Liu Shijiong)
Editor in charge: [Zhang Yanling]