Roadmap to change(2)

There is also a more pessimistic outlook for the growth landscape, with Beijing-based research group Unirule Institute of Economics, a private think tank, releasing a research report in late January saying that growth may bottom out at around 6.8 percent for 2015, citing downside risks to investment.

The downward pressure on the economy from the cooling property market was also mentioned by UBS economists Wang Tao and Zhang Ning in a research note e-mailed to the Global Times earlier in February.

The economists estimate that infrastructure investment may further decline in the first quarter of 2015, which, coupled with a slowdown in property construction, is likely to result in reduced momentum for the already-cooling economy. Nonetheless, policy uncertainties could be allayed after the conclusion of the annual two sessions, helping to drive a rebound in GDP growth in the next two quarters, they remarked.

'One Belt and One Road'

In 2013 during his visits to Central Asia and Southeast Asia, Chinese President Xi Jinping laid out a vision for "One Belt and One Road," referring to initiatives to build a Silk Road economic belt and a 21st century maritime Silk Road.

The "One Belt and One Road" represents for China and the outside world a prime opportunity to build cooperation. The Belt will link China with Europe through Central and Western Asia while the Road will connect China with Southeast Asian countries, Africa and Europe. "It serves more as a roadmap for Chinese investments to go global and for China to forge a global partnership network." Zhao Minghao, a research fellow at the Charhar Institute, a Chinese foreign-policy think tank, told the Global Times.

The "One Belt and One Road" signals a recalibration of both China's internal and external policies. It aims to propel an open economic system within the country while further integrating China into the world economy and deepening cooperation with the outside world, especially in terms of building infrastructure and other development projects.

Xi announced the creation of a $40 billion Silk Road Fund to support the development of the "One Belt and One Road" on November 8 at a dialogue meeting on strengthening connectivity and improving cooperation in the country's neighborhood. The fund is designed to improve trade and transport links in Asia and was established on December 29. According to a statement by the People's Bank of China on Monday, the Fund is now active, and will "seek investment opportunities and provide monetary services throughout the Belt and Road Initiatives."

Since Xi proposed the "One Belt and One Road" initiative, how to best push forward the initiative has aroused heated discussions at home and abroad. The initiative is expected to be one of the focal points in the "two sessions."

"After over two years of planning, collecting and analyzing public reactions and refinement, first-phase preparations have been finished. How the blueprint will be implemented is anticipated to be laid out in this year's government work report, which will be delivered during the two sessions." Zhao said.  

Backgrounder

The third annual session of the 12th National People's Congress (NPC), the country's top legislature, will open on March 5. The third session of the 12th National Committee of the Chinese People's Political Consultative Conference (CPPCC) will open on March 3. Both meetings will be held in Beijing.

National People's Congress (NPC)

The NPC is the country's top legislature, which generally meets once a year. NPC motions become legally binding when they are adopted. The NPC exercises legislative power, amends the Constitution and supervises its enforcement, formulates and amends basic statutes and other laws; elects and decides on the leading personnel of State-level administrative, judicial, procuratorial and military bodies, and has the right to recall them; supervises government work in accordance with the Constitution and laws; and examines and decides on the fundamental, long-term and key issues of the State. Deputies to the NPC are members of the highest organ of State, which also have the right to recall any deputies they have elected. The NPC Standing Committee, the permanent organ of the NPC, is elected by the NPC and exercises the legislative power of the State together with the NPC.

Chinese People's Political Consultative Conference (CPPCC)

The CPPCC, China's top political advisory body, consists of representatives of the CPC and non-Communist parties, personages without party affiliation, and representatives of people's organizations, ethnic minorities and various social strata. The annual session of CPPCC National Committee is the nation's highest arena for political consultation. The CPPCC is held every year in March, concurrent with the NPC annual meeting. The two major political meetings are called the "two sessions" in China.

What to expect

One of the highlights of the "two sessions" is typically the premier's report on the government's work. Premier Li Keqiang will also hold a press conference. Owing to China's ongoing anti-graft efforts, reports from the Supreme People's Court and the Supreme People's Procuratorate will be worthy of attention as well. NPC and CPPCC's reports will review the two bodies' work during 2014, with press conferences for the two hotly anticipated.

Focuses

This year both local and national "two sessions" will focus on reducing GDP targets, deepening reform, the rule of law, fighting smog, public services, China's "One Belt and One Road" initiative, and building free trade zones.