On October 18, 2023, in Beijing, China, to commemorate the tenth anniversary of the “Belt and Road” initiative, a Chinese flag flew on the roof of the Great Hall of the People before the opening ceremony of the “Belt and Road” Summit Forum.
Sue Edgar | Reuters
BEIJING — China’s week-long annual Two Sessions concluded on Monday, with the country’s prime minister not hosting a news conference for the first time in decades.
The prime minister will break with tradition and hold no press conferences after this year’s parliamentary session, at least for the remainder of his term, according to an official announcement last week.
Such a press conference is a rare example of media interaction with the highest levels of the Chinese government.
President Xi Jinping did not speak at the closing ceremony. He usually only speaks at the closing ceremony of the first session of each session of the National People’s Congress, China’s highest authority, which is elected every five years. This year marks the second session of the 14th National People’s Congress.
To be clear, annual gatherings of top leadership are often ceremonial. Real power lies in the hands of the ruling Communist Party, headed by Xi Jinping, general secretary of the Communist Party of China and president of the country.
Still, announcements made during Congress can shed some light on government policy.
Here are some of the key points announced for this year’s week-long parliamentary session, which started last Tuesday and ended on Monday.
environment
Citi analysts pointed out in a report on Sunday, “With the widespread discussion on environmental protection, the Government Work Report clearly promised to reduce energy consumption per unit of GDP by about -2.5% by 2024.”
Analysts said the report “did not set such a numerical target in 2022-23 after a -3.0% target and ‘campaign-style’ execution led to a blackout in 2021.”
But they warned that investors “need to be wary of potential growth risks arising from renewed tightening of environmental policies.”
Economic focus shifts to manufacturing
China has formulated On Tuesday, Premier Li Qiang released the much-anticipated government work report at the start of the meeting, proposing a growth target of around 5% in 2024.
Industrial support is clearly at the top of Beijing’s list of priorities for the year ahead, according to three major plans released at the National People’s Congress meeting.
The top economic planner also pointed out how the push to upgrade equipment will create a market worth more than 5 trillion yuan (about 694.5 billion U.S. dollars).
In contrast, real estate has received less attention.
However, the Minister of Housing and Urban-Rural Development said that real estate developers will go bankrupt if they should. At a press conference on Saturday, Ni Hong warned that those who “harm the interests of the masses” will be investigated and punished.
Changes in the State Council
The Chinese Communist Party has stepped up oversight of the government under Xi Jinping.
At the 2023 National People’s Congress session, Beijing announced sweeping reforms to financial and technology regulation, establishing party-led committees to oversee the two industries. Xi Jinping was also awarded an unprecedented third term as president at last year’s conference.
This year, the National People’s Congress approved changes to the structure of the State Council, which has been the top executive arm of the government led by the prime minister. At the closing ceremony on Monday, the revised Organic Law of the State Council was adopted with 2,883 delegates voting, of which 8 voted against and 9 abstained.
The changes include the inclusion of both the vice-premier and the governor of the People’s Bank of China on the council’s top leadership group.
It’s unclear what impact these changes will have.
—CNBC’s Clement Tan contributed to this article.
