Why Chinese two sessions matter to the world?

As China unveiled a sweeping reform plan in November last year to revitalize the world's second-largest economy, US billionaire investor, Jim Roger, co-founder of the Quantum Fund, said he was thinking about migrating to China with his dollars as the "most important economic event of the next 10 to 20 years is what happened in Beijing."  [Special coverage]

World attention once more focuses on China now as it is to hold the annual full sessions of the National People's Congress (NPC) on Wednesday and the National Committee of Chinese People's Political Consultative Conference (CPPCC) on Monday.

The full sessions of the country's top legislature NPC and its top political advisory body CPPCC are to discuss and adopt policies to deliver the wide-ranging reform promises made during the Third Plenum of the 18th Central Committee of the Communist Party of China in November last year.

The decisions made at the plenum in November will herald the 2.0 version of China's market development that matter not only to the 1.3 billion Chinese but to people all over the world, experts said.

Central to the reform blueprint, Beijing reiterates a commitment to building a market system that is uniform but open, orderly and competitive, promising that market players of all kinds will be able to enter equally and legitimately into areas that are not on the negative list, and erase regional protection, illegitimate favorable policies and monopoly.

By optimizing its market-driven economy, the world's second largest economy would unleash fresh opportunities for market players worldwide, and as long as China enjoys healthy and sound economic development, the world would not fall into too serious an economic crisis, Huo Jianguo, president of Chinese Academy of International Trade and Economic Cooperation, said recently in an interview with Xinhua.

Besides, Beijing also pledges to lower the investment threshold, simplify market access for foreign investors, and make its investment policy steady, transparent and predictable, according to official sources.

In a bolder move, China pledges to further open up the financial industry, improve market-based exchange rate formation mechanisms for the Renminbi and accelerate interest rate liberalization and capital-account convertibility.

By deepening and expanding the level of opening up, China will make itself more understandable to the outside world. The openness also helps resolve trade frictions between China and its partners and lay a fairer ground for bilateral trade, Huo said.

It would definitely facilitate foreign companies doing business in China, the expert said.

Referring to that the market should have a "decisive" role in resource allocation, instead of the previous "basic" role, Ben Heineman Jr, a senior fellow at the Belfer Center for Science and International Affairs, in Harvard's Kennedy School of Government, said this linguistic shift was, in fact, a big deal -- and possibly even radical.

It will improve the prospect of the signing of a bilateral investment treat between China and the United States, he singled out.

Meanwhile, analysts pointed out that China was to transform from an export-oriented economy to a service and domestic demand-oriented one, which was good for rebalancing both the Chinese and global markets.

The fact that the GDP generated by China's service sector surpassed that of the secondary industry in 2013 showed that China was upgrading its economy, said Guo Shengxiang, a renowned Australian economist, adding that it is beneficiary for easing international trade conflicts as well.

It would spur China's trading partners to optimize their own industrial structures as well, he said.

He noted that in the course of transformation, Beijing will need to import more and more products in such area as service and technology, rather than bulk commodities, which would help its trading partners, Australia, for example, to find a cure for the "Dutch Disease," a term referring to the damaging effect on an economy as a result of the exploitation and export of natural resources.

The professional service company KPMG has observed that "it is highly likely that another golden decade in China is just around the corner."

Facing the global economy's fetid recovery, many countries, either developed or developing, have been looking for solutions via reforms.

If China succeeds in its reform efforts, which although entered a "deep water zone" and are faced with tremendous difficulties, it may well open a new epoch of economic thinking for the rest of the world, experts said.

That is why China's two sessions, through which the international community monitors the country's direction and policies, matter to the world. Countries want to find in the Asian country not only a desirable trading partner, but also a good example to learn from, they said.