The Outline of the Strategic Plan for Expanding Domestic Demand (2022-2035) recently issued by the CPC Central Committee and the State Council was released on the 14th. On the 15th, the National Development and Reform Commission issued the Implementation Plan of the Fourteenth Five Year Plan to Expand Domestic Demand. Entering the new development stage, what is the significance of China's firm implementation of the strategy of expanding domestic demand? Jingtai helps you to interpret.
Define medium and long-term goals
"The scale of consumption and investment has reached a new level", "new industrialization, informatization, urbanization and agricultural modernization have basically been achieved", "per capita income of urban and rural residents has reached a new level"... The outline looks forward to the long-term goal of implementing the strategy of expanding domestic demand in 2035 according to the strategic arrangement of building a socialist modern country in an all-round way.
The outline also defines the main objectives of implementing the strategy of expanding domestic demand during the "Fourteenth Five Year Plan" period: to promote consumption investment and achieve new breakthroughs in the scale of domestic demand; Improve the distribution pattern and continuously release the potential of domestic demand; Improve supply quality and better meet domestic demand; Improving the market system and stimulating domestic demand have achieved remarkable results; Smooth the economic cycle and continuously improve the efficiency of domestic demand development.
Consumption is an important part of domestic demand, and promoting residents' consumption is an important starting point for implementing the strategy of expanding domestic demand. The next step will focus on further upgrading traditional consumption, expanding service consumption, cultivating new consumption, advocating green consumption, expanding rural consumption, improving the system and mechanism to promote consumption, and vigorously promote consumption upgrading.
To implement the strategy of expanding domestic demand, one of the key points is to expand investment space and give play to the key role of investment in optimizing the supply structure. In the coming period, focusing on accelerating the complement of weak points, improving the supply quality, continuously optimizing the investment structure, improving the investment efficiency, and more stimulating the vitality of private investment, will add lasting impetus to the rational growth of investment demand.
The outline also laid out three key tasks: accelerating the cultivation of a complete domestic demand system, promoting the formation of a strong domestic market, and supporting the smooth domestic economic cycle.
Investment: optimize structure and expand space
At the level of investment, the Outline puts forward specific tasks and requirements around manufacturing, key areas and new infrastructure.
First, increase investment in manufacturing industry and encourage enterprises to make technological transformation. First, focus on increasing investment in the transformation and upgrading of traditional manufacturing industry, and continuously improve investment in advanced manufacturing industry to improve the quality and efficiency of the manufacturing supply system. Strengthen the guarantee of factors such as land use and energy use for manufacturing investment. Second, we should strengthen the technological transformation of the manufacturing industry, and support enterprises to apply innovative technologies and products to implement technological transformation. At the policy level, enterprises can continue to support technological transformation through the special refinancing policy for equipment upgrading.
Second, innovate and improve enterprise equity and bond financing tools. The Plan proposes: "Innovate and improve the equity and bond financing tools of manufacturing enterprises, constantly innovate and improve the equity and bond financing tools of manufacturing enterprises, and expand the financing channels of enterprises.
In terms of science and technology innovation finance, it helps enterprises improve their R&D efficiency by innovating the financial service model and developing science and technology innovation finance. From the perspective of business practice, the development and innovation of financial instruments such as instrument and equipment credit loans, intellectual property pledge financing, science and technology research and development insurance have greatly promoted the research and development financing of SMEs.
On November 21, 2022, the People's Bank of China and other departments jointly issued the Overall Plan of Shanghai, Nanjing, Hangzhou, Hefei and Jiaxing for the Construction of Science and Innovation Financial Reform Pilot Zone (YF [2002] No. 260, referred to as the "Overall Plan"). The Overall Plan not only puts forward the requirements for financial institutions to innovate and develop a variety of scientific innovation financial credit products, such as intellectual property pledge, equity pledge and credit loan, but also puts forward the solution of "technology collection and storage mechanism" for the problems of difficult valuation and circulation of intangible assets pledge of technology enterprises. At the same time, the "long-term win-win" interest rate pricing mechanism is also proposed to solve the problem of mismatch between the bank loan repayment requirements and the income characteristics of scientific and technological innovation enterprises.
Third, focus on cross region and promote investment in key areas to address weaknesses. Key areas mainly include: transportation, energy, water conservancy, logistics, ecology, people's livelihood and other infrastructure. In the field of transportation, it is necessary to focus on the construction of transportation infrastructure between regions, urban agglomerations and provinces, especially on the establishment of intercity railway network and urban rail around urban agglomerations and key metropolitan areas. In the energy field, we should focus on power production and transmission, optimize the coal production and transportation structure, build a clean energy base with multiple energy complementarities, build a new power system, and pay special attention to accelerating the construction of large-scale wind power and photovoltaic bases, such as Qinghai, Ningxia, Inner Mongolia, with the focus on desert, Gobi, and desert areas. In the field of water conservancy, attention should still be paid to the trans regional water diversion projects, the construction of flood control levees and large-scale desalination facilities.
In the field of logistics, focus on the construction of modern logistics operation system of "channel+hub+network", and cold chain logistics facilities for storage and freshness preservation of agricultural products in the origin. In the field of ecological and environmental protection, we will focus on major projects for the protection and restoration of important ecosystems and the ecological protection compensation system. Among them, ecological protection compensation involves the division of trans regional ecological environmental protection responsibility and financial compensation, which will also have an impact on local financial resources. In the field of social livelihood, infrastructure improvement mainly involves medical care, education, elderly care, infants, culture, sports and other basic public services, which may become the focus of future government investment
In the context of promoting the equalization of public services, special attention should be paid to the sinking of public services, such as county-level and township medical resources and equipment, grassroots education, inclusive elderly care, county-level cultural facilities, etc.
Fourth, layout information, integration, innovation and other new infrastructure construction. First, accelerate the construction of information infrastructure, focus on big data and artificial intelligence, and further promote the application of information intelligence scenarios. Second, comprehensively develop integrated infrastructure, focusing on the integration of data and transportation, energy, ecology, water conservancy and other aspects. Such as the deep integration of new infrastructure with transportation, logistics, energy and other fields, the integration of new infrastructure with public services, and the deep integration of big data technology with logistics and other fields have made good progress. The third is to lay out innovative infrastructure in a forward-looking way. The Outline puts forward: "Support qualified local governments to build regional innovation highlands, and appropriately advance the layout and construction of major scientific and technological infrastructure."
Promote the transformation and upgrading of traditional industries
First, we should develop modern agriculture. The key work includes: optimizing the regional layout of agricultural production; Optimizing the structure of agricultural production; Strengthening the construction of high standard farmland; Promote the transformation and upgrading of animal husbandry; Promote green and healthy aquaculture; We will promote agricultural mechanization and intelligentization of agricultural machinery and equipment.
Second, we should promote high-end, intelligent and green manufacturing. The realization path includes: promoting the convergence of data, talents, technology and other production factors in traditional industries; Promote the transformation of production mode to flexibility, intelligence and refinement; Build a multi-level resource efficient recycling system. For the remanufacturing industry, the Plan proposes to standardize the development.
Third, optimize the regional industrial capacity layout. The focus is to support the transfer of important basic industries such as petrochemical, chemical, steel and iron to the central and western regions and the northeast. We will continue to improve the directory of industrial restructuring guidance and the directory of encouraged industries in the western region, and support and guide the central and western regions and northeast regions to rely on resource factor endowments to undertake domestic industrial gradient transfer on the basis of full consideration of resource and environmental carrying capacity. The work arrangement of optimizing the regional industrial capacity layout echoes with the promotion of regional coordinated development.
Supporting reform: consumption, investment and financing and business environment
At the level of supporting systems, the Outline puts forward specific reform requirements on promoting consumption system and mechanism, reforming investment and financing system, optimizing business environment, etc.
First, we should focus on releasing the potential of service consumption and improve the consumption promotion system and mechanism. Key areas include service consumption, natural monopoly service, education, culture, health and other fields. For the service consumption field, the access restrictions will be relaxed.
The Outline proposes: "We will implement more lenient access and strict control, and lift access restrictions on service consumption areas that can rely on full market competition to improve the quality of supply." This will further implement the reform of "deregulation, management and service" in the service consumption area, which is conducive to expanding the supply of service consumption.
Second, the reform of investment and financing system will start from the perspectives of expanding private investment and government investment and financing. From the perspective of expanding private investment, according to the data disclosed by the National Development and Reform Commission, since 2012, the proportion of private investment in the overall investment has always remained above 55%, which is the main force of investment.
According to the Outline, first, we should give play to the guiding and driving role of government funds, and guide private capital to participate in the construction of new infrastructure, new urbanization, transportation and water conservancy and other major projects, as well as the construction of weak areas; Second, encourage private enterprises to increase investment in research and development, promote equipment upgrading and technological transformation, expand investment in strategic emerging industries, improve independent innovation capabilities, and master core technologies with independent intellectual property rights; Third, encourage and guide non-state-owned capital investment entities to participate in the restructuring of state-owned enterprises through various forms such as share holding and asset acquisition.
From the perspective of government investment and financing, the first is to continue to optimize the government investment structure and increase support for the areas of weakness; Second, orderly promote the healthy development of real estate investment trust funds in the infrastructure field, activate the existing assets through various ways, and form a virtuous circle of existing assets and new investment; Third, promote the cooperation between government and social capital in a standardized and orderly manner.
Third, improve investment management and project financing mechanism. In terms of investment management, investment management mainly focuses on the reform of the approval system, including improving the approval process, linking systems, laws and regulations, and optimizing the investment approval process in combination with information technology. At the same time, from the perspective of project supervision, through the sharing of investment approval data among departments, it can strengthen the in-process and post event supervision of investment projects. In terms of project financing mechanism, financial institutions are encouraged to provide more financial products and services directly to the real economy according to laws and regulations.
Fourth, in order to attract high-quality foreign capital, further optimize the domestic business environment. According to the Outline, the focus of the optimization of China's business environment in the future will be mainly on three aspects: deepening the reform of "releasing, regulating and serving", improving the modern property rights system, and improving the social credit system. Among them, in terms of improving the modern property rights system, "strengthen the construction of property rights system in data, knowledge, environment and other fields, and improve the property rights system and laws and regulations of natural resource assets." This shows that with the development of digital economy and digital trade, the global demand for digital element protection is growing day by day, and strengthening the construction of data property rights system will help to enhance China's international competitiveness in the field of digital economy.
