Opinion

 

1. Advancing the reform of the fiscal and taxation systems

 

The Central Economic Work Conference proposed to comprehensively promote the reform of the fiscal and taxation system and increase financial resources of local governments. We need to deepen the comprehensive reform of capital market investment and financing, break through the bottlenecks of medium and long-term capital entering the market, and enhance the inclusiveness and adaptability of the capital market system. The series of measures will provide more fiscal, taxation, and financial support for high-quality development.

 

2. Steadily advancing high-level opening-up

 

Opening-up is a distinctive hallmark of Chinese modernization. The Central Economic Work Conference emphasized the need to expand high-level opening-up, stabilize foreign trade, and attract foreign investment. Since the beginning of this year, efforts have been made in promoting institutional opening-up, aligning with  high-standard international economic and trade rules, and leveraging advantages in China's super-large market to enhance openness through expanded international cooperation. By promoting reform through opening-up, significant achievements have been made in international economic and trade cooperation, and advancing high-level opening-up.

  

Policy

 

1. China's Ministry of Finance released a framework for sovereign green bonds on February 20, laying the foundation for the country to issue offshore sovereign green bonds and global capital to invest in its green development.  

 

2. China's Ministry of Industry and Information Technology has launched an innovation  activity to accelerate the application of innovative technologies and products in the computing power network sector.

 

3. The National Financial Regulatory Administration (NFRA) on February 26 announced that China will lower the asset requirement threshold for Hong Kong and Macao financial institutions to invest in mainland insurers, as part of its efforts to deepen opening-up in the financial sector. From March 1, Hong Kong and Macao financial institutions will no longer be required to have assets totaling no less than USD 2 billion at the end of the previous year to invest in mainland insurance companies, NFRA said. 

 

Data

 

1. According to the National Health Commission, China has established 114 provincial-level regional medical centers since the start of the 14th Five-Year Plan, making high-quality medical resources accessible to residents and significantly reducing cross-regional medical visits. 

 

2. During the 40-day Spring Festival travel period in 2025, which concluded on February 22, the number of cross-regional passenger trips totaled 9.025 billion, according to the Ministry of Transport.

 

3. Data from Beijing Customs showed that in 2024, the total import and export value of private enterprises in Beijing reached RMB 435.4 billion, up 11.9 percent year on year, marking the 15th consecutive year of growth.  

 

4. In 2024, the per capita disposable income of rural residents in China reached RMB 23,119, a year-on-year increase of 6.3 percent, with the urban-rural income gap narrowing significantly to 2.34:1, according to the Office of the Central Rural Work Leading Group.

 

5. The number of people returning to or relocating to rural areas to start businesses in China has exceeded 12 million, the Central Financial and Economic Affairs Commission said.

 

6. China's gross marine product grew 5.9 percent year on year to RMB 10.5 trillion in 2024, demonstrating strong growth momentum, the Ministry of Natural Resources said.

 

7. As of January 31, there were 5,404 companies listed on the Chinese domestic stock market, according to the China Association for Public Companies. The stock exchanges in Shanghai, Shenzhen, and Beijing had 2,283, 2,858, and 263 listed companies, respectively.  

 

8. According to data released by the Ministry of Commerce, China's services import and export value reached a record RMB 7.5 trillion in 2024, hitting a record high. For the first time, the total value of services trade surpassed the mark USD one trillion. China's service retail sales in 2024 grew by 6.2 percent year on year, while service consumption expenditure among residents rose 7.4 percent year on year, contributing 63 percent to total consumption growth.  

 

9. According to the China Federation of Logistics and Purchasing, the ratio of total social logistics costs to GDP continued to decline in 2024, dropping to its lowest level and saving over RMB 400 billion in logistics costs. 

 

10. According to guidelines on ratoon rice development (2025-2030) issued by the Ministry of Agriculture and Rural Affairs, China plans to expand its ratoon rice cultivation area by approximately 10 million mu (about 667,000 hectares) by 2030.

 

(Source: Economic Daily)