Li Keqiang puts the pulse of the Chinese economy: there are 4 kinds of "illness" and 6 prescriptions are prescribed.

Summary September 10, Chinese Premier Li Keqiang attended the ninth in Dalian Summer Davos forum and delivered a speech. In the past two months, the A-share market has experienced significant volatility, some economic data has performed poorly, and international investors have worried about the Chinese economic slowdown. With the winter at the beginning of the year...
On September 10, Premier Li Keqiang attended the 9th Summer Davos Forum in Dalian and delivered a speech.

In the past two months, the A-share market has experienced significant volatility, some economic data has performed poorly, and international investors have worried about the Chinese economic slowdown. Compared with the winter forum at the beginning of the year, the Summer Davos Forum, which is being held in Dalian, has placed more spotlights on the Chinese economy.

In the face of China's economic situation, Premier Li Keqiang's scene of "taking the pulse" mainly mentioned four kinds of "diseases" (problems faced), and mainly issued six "prescriptions" (to solve the direction of advancement). At the same time, he also gave a response from the highest level in China: "China is not the source of world economic risks, but one of the sources of power for world economic growth."

Side A: The "Illness" of the Chinese economy
At this forum, Premier Li Keqiang once again gave a veritable statement on China's current economic trend: China's economic operation is still in a reasonable range. He said that the Chinese economy is in the stage of conversion of old and new kinetic energy. It is a very painful and very difficult process. During this period, economic growth will inevitably fluctuate.

1. The economic trend is stable and difficult.
At present, the world economic recovery is weak, and many international institutions have lowered their global growth expectations. The more you face the complicated situation of chaos, the more you need to boost your confidence and see hope. Here, I want to tell you that the current trend of China's economy is slowing down and stabilizing, but it is difficult to stabilize. In general, opportunities are greater than challenges.

2, the import and export amount has been slowing down
In the first half of this year, China’s contribution to world economic growth was around 30%. Due to the sharp drop in global commodity prices, China’s imports and exports have slowed down in terms of the amount, but the physical quantity of imported bulk commodities has not decreased or even increased. China will implement a more active import policy in “Excellent Excellence”, and the number of imported goods will increase in the future. China's foreign investment continues to maintain rapid growth.

3. Deep-seated contradictions gradually emerge
Of course, the Chinese economy is also facing a lot of difficulties and downward pressure, but it is still in a reasonable range. As an economy closely related to the international market, the global economic situation is generally weak, China cannot be alone, and the deep-seated contradictions accumulated in the country for a long time are gradually emerging.

4, transformation is full of painful fluctuations is inevitable
The Chinese economy is in the stage of conversion of old and new kinetic energy. The transformation of manufacturing from extensive growth to intensive growth, and the transition from excessive investment-dependent investment to coordinated consumption and investment are a painful and difficult process. Growth is inevitably fluctuating and undulating. This is a normal phenomenon in the adjustment of transformation. It is said to be a "pulse" in Chinese medicine.

Side B: "Prescription" for symptomatic treatment
Premier Li Keqiang said at the forum that there are still many tools in China's innovative macro-control policy toolbox. Just like playing chess, it is better to focus on each and every target and to make a targeted move to withstand the current downward pressure on the economy. We must retain our backhand and seek momentum to promote long-term sustainable and healthy development of the economy.

1, do not engage in strong incentives targeted
At present, we are also taking necessary directional control, camera regulation, and precise control measures. Mainly to reduce the short-term volatility, to prevent the conduction and amplification effects. Once there is a sign of slipping out of a reasonable range, we will have enough capacity to deal with it. The Chinese economy will not have a "hard landing". This is not empty talk. In recent years, we have not over-resourced money, and have not engaged in large-scale and strong stimulus. We have relied mainly on reforms to enhance economic vitality, which has stabilized the economy and left room for further regulation.

2. Promote financial reform and stable exchange rate
We will continue to relax restrictions on the entry of private capital into the financial sector. It is our stated goal to steadily expand financial opening up. We have improved the quotation mechanism for the central parity of the RMB against the US dollar. At the same time, we will continue to maintain the basic stability of the exchange rate at a reasonable and balanced level. Not long ago, we opened up the overseas central bank [microblogging] institutions to invest in the inter-bank bond market, and the next step will allow overseas central banks to directly enter the inter-bank foreign exchange market. A renminbi cross-border payment system will be established before the end of the year.

3. Adhere to the mass entrepreneurship and innovation
Mass entrepreneurship and innovation are the driving force behind development. There are more than 900 million laborers in China, and there are more than 7 million college graduates every year. More and more people are engaged in entrepreneurial innovation, which has spawned new supply and released new demands, and has become an important force for steady growth. "Double creation" is a strong support for expanding employment. “Double creation” is an important driving force for the development of the sharing economy.

4. Encourage private capital to work together
The government does not sing "one-man show" and encourages social capital and foreign investment to work together. By promoting the government to purchase social services, franchising and other market-based methods, we encourage and guide private investment to participate in the construction and operation management of public goods and public services, while relaxing market access for foreign investment. In the future, we will continue to advance reforms in this area.

5. Expanding openness and constantly integrating into the world
The process of China's reform is also the process of continuously expanding the openness and the process of continuous integration into the world. The door to China's opening up will be widened. The overall policy of using foreign investment will not change. The specific policy will broaden the scope of attracting more foreign investment. The direction of the field changes. For example, this year we continue to expand the field of foreign investment, and the restricted category has been cancelled by 50%.

6. Develop international production capacity cooperation
At present, countries around the world are at different stages of development. Through international capacity cooperation, not only can they effectively meet the supply and demand of all parties, but they can also use supply innovation to drive demand expansion.

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