A view of Shenzhen Bay in South China's Guangdong Province File photo: VCG

This year marks the conclusion of China's 14th Five-Year Plan (2021-25) period, and the formulation of a new plan for the country's development over the next five years is well underway. 

According to Economic Information Daily, local governments of East China's Zhejiang Province, Central China's Henan Province, Northeast China's Heilongjiang Province and other regions have recently held meetings to plan their respective strategic tasks, reform measures and other projects for the 15th Five-Year Plan (2026-30).

The five-year plan is a vital governance tool for China's economic development, which holds significant importance for promoting the country's economic and social progress in the coming five years. The formulation of a five-year plan is a process that involves broad consultation, consensus-building, scientific planning, democratic decision-making, and legal approval.

Yao Jingyuan Photo: VCG

Looking back at the 14th Five-Year Plan (2021-25) period, China's economy has made steady progress despite facing various challenges, which is successfully transformed to a high-quality development model. 

Notably, despite the COVID-19 pandemic and external uncertainties, China has achieved notable progress in retooling economic structure, accelerating innovation-driven development, and improving people's livelihoods.

China's accomplishments during the 14th Five-Year Plan (2021-25) manifest the strengths of its planning system. At the time, opinions on the GDP growth target varied - some proposed 5 percent, others put forward 6 percent, and some even suggested 8 percent - reflecting their different perspectives and rationales.

The Central Committee of the Communist Party of China (CPC), after extensive consultations and thorough analysis of the domestic and global conditions, opted not to set a specific GDP growth target in the 14th Five-Year Plan (2021-25), instead prioritizing quality and efficiency. The approach reflects the CPC's clear recognition of shifting internal and external conditions, and its commitment to guiding China's economy through a critical stage of structural transformation.

Had a high growth target been set, it could have prompted local governments to chase rapid expansion in economic scale at the expense of reform and innovation. This, in turn, might have delayed much-needed upgrades in economic structure and productivity.

 Currently, Chinese economy is undergoing a new stage of development, with an uncertain external environment and internal transitions, including steadfast efforts to achieve technological progress. As emphasized in the Third Plenary Session of 20th CPC Central Committee, China is expected to continue focusing on promoting high-quality economic development. 

In the upcoming 15th Five-Year Plan (2026-30), China is expected to focus on balancing the quantity and quality of economic growth, accelerating the development of new quality productive forces, and advancing a new development paradigm. The country is also expected to further expand home market demand, strengthen the domestic economy and drive its expansion, and broaden international cooperation through further opening up.

China is also mindful of the multiple challenges ahead, including many external volatilities, de-globalization headwinds, and trade protectionism. Notably, policies taken by certain countries have disrupted the global trade order that had taken shape over the past decades.

In this context, China is expected to prioritize its own development agenda and foster a new development pattern that promotes greater mutual reinforcement and positive interplay between domestic and international economic flows. Additionally, China is expected to focus on resolving major blockages in domestic economic flows, ensuring that the development goals for the 15th Five-Year Plan (2026-30) are met on time. 

A major strength of the five-year plan mechanism is the ability to mobilize the whole society to focus on completing significant tasks. In the past, China has effectively concentrated efforts to overcome critical challenges. Today, facing external pressures from some countries attempting to contain China's development, China is expected to clearly identify and prioritize the key tasks, once again mobilizing national resources to achieve breakthroughs.


The author is special researcher of the Counselors' Office of the State Council. bizopinion@globaltimes.com.cn