Recently, multiple departments have held intensive working meetings to deploy key tasks in 2024. The reporter of China's first newspaper combed and found that expanding domestic demand, supporting scientific and technological innovation and preventing risks have become the three key words, which are the key tasks of multiple departments. Experts believe that to focus on stabilizing the economy, it is necessary to expand domestic demand, form a virtuous circle in which consumption and investment promote each other, lead the construction of a modern industrial system with scientific and technological innovation, and also need to coordinate risk resolution in key areas such as real estate and local debt.
Expand domestic demand.
Judging from the signals released by multiple departments, expanding domestic demand is still one of the important tasks of economic work in 2024.
Focusing on expanding domestic demand, the Ministry of Finance proposed to promote the construction of a unified national market, promote the steady growth of consumption, strengthen the management of the use of special bond funds, continue to make good use of the additional treasury bond funds, consolidate the basic market of foreign trade and foreign investment, and support the enhancement of the main driving force of domestic demand. The National Development and Reform Commission proposed to further make good use of various funds to strengthen project construction and better play the key role of effective investment. At the same time, we should better coordinate consumption and investment, promote the continuous expansion of consumption, cultivate more new forms of consumption and new hot spots, and form a virtuous circle in which consumption and investment promote each other.
Consumption and investment are related, and effective investment and consumption supported by income are both the starting points for expanding domestic demand. Luo Zhiheng, chief economist and dean of the Research Institute, believes that if we want to focus on expanding domestic demand and stimulating consumption in 2024, we need to solve the two key problems of insufficient consumption capacity and weak consumption willingness of residents. In addition, the expansion of investment should comprehensively consider the investment benefits, and use more funds to support major national strategies, promote the upgrading of the industrial structure, and benefit the people's livelihood and make up for shortcomings.
Wu Hao, Secretary-General of the National Development and Reform Commission, said that in terms of consumption, we will promote consumption from post-epidemic recovery to continuous expansion, cultivate more new forms and hot spots of consumption, and accelerate the release of physical consumption potential in key areas such as automobiles, home appliances, smart homes, and electronic products. In terms of investment, we will give full play to the amplification effect of investment, continue to vigorously promote the implementation of 102 major projects in the "14th Five-Year Plan" and other major projects of economic and social development, and take multiple measures to promote private investment.
Support the construction of a modern industrial system.
Experts believe that in the short, medium and long term, the expansion of domestic demand is aimed at returning the economy to normal growth as soon as possible. Leading the construction of a modern industrial system with scientific and technological innovation is conducive to increasing the potential growth rate of China's economy in the medium and long term.
Many departments have paid more attention to scientific and technological innovation when deploying key tasks in 2024. The National Conference on Industry and Information Technology has made clear 12 key tasks, including making every effort to promote the steady growth of the industrial economy, enhancing the ability of industrial scientific and technological innovation, and accelerating the cultivation of emerging industries. The National Development and Reform Commission proposed to further deepen reform in an all-round way, strengthen innovation-driven, and continue to stimulate the vitality of economic development. The Ministry of Finance proposed to promote the optimization and upgrading of the industrial structure, increase the support for industrial scientific and technological innovation, and support the enhancement of enterprise competitiveness.
Huang Qunhui, director of the Institute of Economic Research of the Chinese Academy of Social Sciences, believes that promoting new-type industrialization is a key task in realizing Chinese-style modernization. It is necessary to strengthen the supply of high-level independent technical elements. Actively explore effective investment mechanisms, and increase investment in the construction of new infrastructure such as information infrastructure, convergence infrastructure, and innovation infrastructure. Accelerate the development of digital technology, and use digital technology to empower the integration of manufacturing and service industries.
Focusing on supporting the construction of a modern industrial system, Lin Zechang, director of the General Department of the Ministry of Finance, said that the Ministry of Finance will actively support scientific and technological innovation, ensure the demand for funds for key core technologies, continue to increase support for basic research, deepen the reform of the allocation and use mechanism of science and technology funds, and adjust and optimize the direction of the use of funds.
Prevent and resolve risks in key areas.
While promoting the economic recovery, it is also necessary to guard against risks in key areas. Experts believe that it is necessary to actively and prudently resolve real estate risks and local debt risks.
The Ministry of Housing and Urban-Rural Development has made it clear that the real estate market will be stabilized. Adhere to city-specific policies, city-by-city, and precise policies, meet the demand for rigid and improved housing, optimize real estate policies, continue to do a good job in ensuring the delivery of buildings, ensuring people's livelihood and stability, properly handle the risks of real estate enterprises, and rectify the order of the real estate market.
Wang Yiming, vice chairman of the China Center for International Economic Exchanges, said that real estate has an important impact on residents' wealth, consumption and market expectations, and is the "bull's nose" that currently affects economic operation. It is very important to solve real estate risks and promote the stable and healthy development of the real estate market to improve the overall economic operation. We should step up the "three major projects" such as the construction of affordable housing, the construction of public infrastructure for both ordinary and emergency purposes, and the transformation of urban villages, which will play an important role in driving real estate-related investment and alleviating the pressure on real estate.
In terms of resolving local debt risks, the Ministry of Finance proposed that it is necessary to strictly implement the established measures to resolve debts, increase the resolution of existing hidden debts, resolutely prevent new hidden debts, improve the long-term mechanism of debt reduction, and effectively prevent and resolve local debt risks.
Luo Zhiheng said that the special refinancing of securitized bonds is mainly to alleviate the current risks, and it is still necessary to curb the soil for the generation of hidden debts through the linkage reform of institutional mechanisms. While stabilizing the macro tax burden, clarify the relationship between the market and the market.
In the next step, we should promote the market-oriented transformation of financing platforms and form a long-term mechanism to prevent and resolve local debts. Wang Yiming said that fundamentally speaking, to solve the problem at the institutional level, it is also necessary to promote a new round of fiscal and taxation system reform. Local government debt disposal should also grasp the relationship with economic stability, so as to develop while turning debts into debts.