Key Takeaways of 2024 Government Work Report

BEIJING, March 5 (AsianFin)— Chinese Premier Li Qiang on Tuesday delivered his maiden Government Work Report at the Second Session of the 14th National People's Congress. The key points are as follows:

I. Review of Work in 2023:

- Gross Domestic Product (GDP) grew by 5.2%

- Grain production reached 695 billion kilograms

- New non-farm jobs amounted to 12.44 million

- Over 2.2 trillion yuan in taxes and fees were rebated or exempted throughout the year.

- China produced and sold over 60% of the world’s new energy vehicles

- Exports of electric vehicles, lithium batteries, and photovoltaic products increased by nearly 30%

I. Major Targets for 2024:

- GDP growth of around 5%

- Over 12 million new non-farm jobs

- Consumer price index increase of around 3%

- Grain production of over 650 billion kilograms

- A reduction of approximately 2.5% in energy consumption per unit of GDP

III. Key Priority Areas for 2024:

Finance:

- The deficit target is set at 3% of GDP

- General public budget expenditures will increase by 1.1 trillion yuan compared to 2023

Government Investments:

- Local governments plan to issue at 3.9 trillion yuan of special bonds

- Central government plans to invest 700 billion yuan in public works in line with the budget

Special Treasury Bonds:

- Starting this year, it is planned to issue ultra-long-term special treasury bonds for several consecutive years. These funds will be used for the implementation of major national strategies and the construction of security capabilities in key areas, with an initial issuance of one trillion yuan this year

Future Industries:

- Explore new frontiers such as quantum technology and life sciences

Digital Economy:

- Implement the "AI+" action plan

Consumption:

- Encourage and promote the replacement of old products with new ones to stimulate bulk consumption of connected new energy vehicles and electronic products among others

Housing:

- Increase the construction and supply of affordable housing and improve relevant fundamental systems for commercial housing

Employment:

- Unveil favorable policies and measures to promote youth employment. Improve flexible employment service guarantee measures

Rural Revitalization:

- Implement three major nation-wide policies to ensure grain production costs and income insurance. Strengthen the construction of charging stations, cold chain logistics, and postal delivery facilities

Urbanization:

- Steadily implement urban renewal measures. Promote solutions to challenges such as adding elevators and parking to old neighborhoods

Education:

- Launch actions to expand and improve basic education. Promote the inclusive development of preschool education

Medical Insurance:

- Increase the per capita financial subsidy standard for resident medical insurance by 30 yuan

Social Security:

- Raise the minimum monthly standard for basic old-age pensions for urban and rural residents by 20 yuan. Continue to increase the basic old-age pensions for retirees. Implement the personal pension system nationwide. Increase the supply of childcare services through multiple channels.

Opening Up:

- Remove restrictions on access of foreign investments to the manufacturing industry. Relax market access for service industries such as telecommunications and healthcare. Enhance the convenience for foreigners to work, study, and travel in China

Environmental Protection:

- Improve financial, tax, financial, investment, and pricing policies supporting green development and related market mechanisms

(1 yuan equals US$0.14)