Full Text: Report on the work of the government (5)

We will explore new approaches to financial regulation to prevent and diffuse financial risks. We will channel great energy into developing inclusive finance and ensuring equitable access to financial services for all market entities.

We will deepen the reform of state-owned enterprises (SOEs) and state capital.

We will push forward with targeted reform of SOEs on the basis of having clearly defined their functions. We will move more swiftly in carrying out trials on establishing state capital investment companies and operating companies, create a market-based platform for state capital operations, and improve their performance.

We will take systematic steps to implement the reform of introducing mixed ownership to SOEs, and both encourage and regulate equity investment made by non-state capital in SOE investment projects. We will accelerate structural reform of the electricity, oil, and natural gas industries. We will work, through multiple channels, to relieve SOEs of their obligation to operate social programs and help them solve longstanding problems, while at the same time ensuring that the legitimate rights and interests of workers are protected. We will ensure that SOEs improve their modern corporate structure, and incentive and restraint mechanisms for their executives are reformed and strengthened. We will strengthen regulation of state-owned assets and guard against their loss, and ensure that SOEs improve their performance.

The non-public sector is an important component of China's economy. We will remain firmly committed to encouraging, supporting, and guiding the development of this sector, work to enable entrepreneurs to give full expression to their talent, put into effect all policies and measures encouraging the development of the private sector, strengthen the vitality of enterprises under all types of ownership, and protect the property rights of all types of enterprise-legal persons in accordance with the law.

We will continue to push ahead with reforms in science, technology, education, culture, medical and health care, pensions, public institutions, and the housing provident fund. Development needs to be driven by reform, and the people are expecting the real benefits reform delivers. We must work hard to make sure that reform boosts development and benefits our people.

Opening up is itself a reform. We must carry out a new round of high-quality opening up, move more swiftly in building a new open economy, and maintain momentum in development and in international competition by pressing ahead with opening up.

We will transform and upgrade China's foreign trade.

We will improve the mechanism for sharing the cost of export tax rebates between the central and local governments, with the central government paying all this year's increase over last year for the benefit of local governments and exporting enterprises. We will overhaul and regulate charges for imports and exports, and establish and release a complete list of such charges. We will implement policies and measures to enable China's foreign trade to develop new competitive edges, facilitate the transformation of processing trade, develop market purchase trade and a comprehensive service platform for foreign trade, expand comprehensive trials in cross-border e-commerce, turn more cities into trendsetters in undertaking services outsourced by other countries, and increase the share of service trade in China's foreign trade. We will adopt a more active import policy to increase the import of advanced technology, key equipment, and important parts and components.

We will take a more active, more effective approach to making use of foreign capital.

We will revise the Catalogue for the Guidance of Industries for Foreign Investment. We will focus on making the service and manufacturing sectors even more open by halving the number of industries in which foreign investment is restricted. We will introduce, across the board, the management system under which foreign investment projects generally need only to be placed on record, with government review required in only a limited number of cases. We will delegate to lower-level governments the power of review for a large number of projects that are encouraged by the state; and work actively to explore the management model of pre-establishment national treatment plus a negative list. We will work to improve the foreign investment regulatory system, revise laws concerning foreign investment, and create a stable, fair, transparent, and predictable business environment.

We will speed up the implementation of the "go global" strategy.