2023 is the first year to fully grasp the implementation of the Resolution of the 20th National Congress, the pivotal year of the 14th Socio-Economic Development Plan, and in the beginning stage of the process of building a socialist modernized power. This target, on the whole, still belongs to the early stages of Socialism.
On December 6, the Politburo of China held a meeting to analyse the economic perpective of 2023, emphasize: “promoting the economy to operate well in general, trying to strengthen the market’s confidence; implementing effective upgrade in quality and reasonable growth in quantity”, implementing and taking new steps to comprehensively build a socialist modernized nation; must better synchronize epidemic prevention and socio-economic development, optimize anti-epidemic measures, comprehensively deepen reform and opening-up. This is China’s motto of action in 2023. Xi Jinping made the request that “the epidemic must be prevented, the economy must be stable, development must be safe, the whole progress must be stable”. Xi emphasized that China would strengthen the capacity to fight epidemics at the grassroots level, strengthen research and application of drugs and vaccines, ensure good treatment for the masses… In 2023, China still placed the fight against the Covid epidemic in an important position, but there has been a more harmonious adjustment between anti-epidemic with restoration of economic development, limiting the negative impact of anti-epidemic on the economy.
Xi pointed out that in order to do well economic work in 2023, it is necessary to firmly grasp the “six synchronizations”: “Better synchronized between anti-epidemic and socio-economic development”, “between effectively improving economic quality and reasonable growth in quantity”, “between structural reforms on the supply side and expansion of domestic demand”, “between economic policies and other types of policies”, “between domestic circulation and international circulation”, “more synchronized between the short term and the long term.
In order to achieve the goal of economic work in 2023, strengthen the Party’s leadership over economy, China’s economy in 2023 will be operated around the “5 perseverance” proposed at Economic Conference of the Central Committee (December 15-16, 2022): persist in “development is the number one important task” of the Party; persist in the work of “forging ahead in stability”; persistently “improving the basic socialist economic system”; persistently “promoting high-level external opening”; persistently “promoting economic development to operate in the orbit of the rule of law”. The Conference pointed out that in 2023, under the premise of persistently putting the word “stable” first, China must continue to implement a positive financial policy and a stable monetary policy, increase the level of macroeconomic policy adjustment, strengthen policy adjustment and coordination of all kinds, form synergies to jointly promote high-quality development. The conference pointed out a number of important issues that need to be done well in economic work in 2023: Focusing on expanding domestic demand, speeding up the building of a modernized production system, and practically implementing “two unchanged” (non-wavering,consolidating and developing the public-owned economy, non-wavering, promoting, helping and guiding the development of the non-public-owned economy), increasing the attraction and use of foreign investment, preventing and promoting the development of the public-owned economy, effectively deal with major financial and economic risks. China still sets out the task of preventing systemic risks”, which means that China insists that this risks still exist.
Although the Economic Conference of Central Committee 2022 was confident about the advantages of the regime, the size of the domestic market, the increasingly modern finishing industry, etc., it still exudes caution and vigilance against potential threats. Risks, including systemic risks in the economic development process of 2023 and the following years, should be taken very cautiously, always taking the word “stable” as the most important target, seeking reasonable growth. This is a prominent feature of China’s economic situation in 2023.
Tung Lam / Phan An