REPORT ON THE WORK OF THE GOVERNMENT

Delivered at the Third Session of the 13th National People’s Congress of the
People’s Republic of China on May 22, 2020
Li Keqiang
Premier of the State Council

Fellow Deputies,

On behalf of the State Council, I will now report to you on the work of the government. I ask for your deliberation and approval. I also ask members of the National Committee of the Chinese People’s Political Consultative Conference (CPPCC) for their comments.

The covid-19 epidemic is the fastest spreading, most extensive, and most challenging public health emergency China has encountered since the founding of the People’s Republic. Under the strong leadership of the Central Committee of the Communist Party of China with Comrade Xi Jinping at its core, and through the hard work and sacrifice of our entire nation, we have made major strategic achievements in our response to covid-19. At present, the epidemic has not yet come to an end, while the tasks we face in promoting development are immense. We must redouble our efforts to minimize the losses resulting from the virus and fulfill the targets and tasks for economic and social development this year.

I. A review of our work in 2019 and the first few months of 2020

In pursuing development last year, China faced many difficulties and challenges. World economic growth was weak, international economic and trade frictions intensified, and downward pressure on the domestic economy grew. The Party Central Committee with Comrade Xi Jinping at its core rallied the Chinese people and led them in surmounting difficulties and accomplishing the year’s main targets and tasks, thus laying the crucial foundation needed to reach the goal of building a moderately prosperous society in all respects.

The economy remained stable overall. Gross domestic product (GDP) reached 99.1 trillion yuan, representing a 6.1 percent increase over the previous year. Around 13.52 million new urban jobs were added, and the surveyed unemployment rate was below 5.3 percent. Consumer prices rose by 2.9 percent. A basic equilibrium was maintained in the balance of payments.

The economic structure continued to improve, and the development priorities of regions are better aligned. Total retail sales of consumer goods exceeded 40 trillion yuan, and consumption continued to serve as the main engine driving growth. Advanced manufacturing and modern services registered rapid growth. Grain output reached 665 million metric tons. For the first time, permanent urban residents exceeded 60 percent of the population; progress was made in implementing major development strategies for regions.

New growth drivers became stronger. A number of major innovative achievements were made in science and technology. Emerging industries continued to grow; upgrading in traditional industries accelerated. Business startups and innovation continued to surge nationwide, with an average net increase of over 10,000 businesses per day.

Major headway was made in reform and opening up. Supply-side structural reform was further advanced, and breakthroughs in reform were made in key areas. We cut taxes and fees by 2.36 trillion yuan, going well beyond our target of 2 trillion yuan, with manufacturing and micro and small businesses benefiting most.
The reform of government bodies was completed. Reforms to streamline administration and delegate power, improve regulation, and upgrade services were steadily advanced. The Science and Technology Innovation Board, or STAR Market, was established. The joint efforts to pursue the Belt and Road Initiative (BRI) yielded fresh results. Regulations for the implementation of the Foreign Investment Law were adopted, and the China (Shanghai) Pilot Free Trade Zone Lin’gang New Area was established. Foreign trade and investment remained stable.

Pivotal progress was achieved in the three critical battles. Decisive achievements were made in poverty alleviation—the rural poor population was reduced by 11.09 million, and the poverty headcount ratio fell to 0.6 percent. Pollution prevention and control efforts continued, with further reductions in the discharge of major pollutants and overall improvements in the environment. The financial sector remained stable.