BEIJING, October 31 (INP): China is likely to see breakthroughs in improving its business environment and the rule of law in economic fields to better unleash the country’s growth potential and ensure high-quality development as the central leadership discusses governance systems and capacity at an ongoing Party meeting in Beijing.
Quoting experts, China Economic Net (CEN) reported that the Fourth Plenary Session of the 19th Central Committee of the Communist Party of China, which is concluded on Thursday, will likely set the tone for future policies about the country’s economic governance, including efforts to carry out legal and administrative reforms and legal revisions concerning major economic issues.
The leadership will possibly discuss and elaborate on issues including building a fairer, more consistent and more transparent business environment, balancing the relationship between government and market, strengthening protection of intellectual property rights as well as consumer and investor interests and improving the legal framework of the country’s financial market, experts said.
The four-day Party meeting will also mark a new phase for China in terms of improving economic governance to better facilitate the country’s opening process and its integration into the global economy as the country is seeking to attract foreign investors with a more sound and mature economic system, they added.
Meanwhile, Xue Yi, finance professor at the University of International Business and Economics in Beijing said, “There is no better time than now for the central leadership to discuss and take action to improve governance in the economic field,” said in a Beijing.
“China has gained useful and effective know-how on economic governance and a better understanding of the roles of the government and market in resource allocation. It is time to institutionalize successful past experiences to enrich the country’s governance capacity and to ensure high-quality development,” Xue said.
“The country is also shifting away from simply using market size or low-cost labor to draw investment. Now the focus is more about leveraging its institutional advantages to attract investment,” he added.
Over the past few years, China has accelerated the improvement of its economic governance, legislation and the practice of rule of law in business sectors.
Several major regulations and laws including the regulation on optimizing the business environment issued by the State Council and the Foreign Investment Law — which aims to better protect the legitimate rights of foreign businesses — will be officially effective next year. The country’s lawmakers are also hoping to complete amendments to the much-anticipated Securities Law, the fundamental legislation that governs the country’s capital markets, by the end of this year.
Analysts said that deepening legal and administrative reform, transforming the roles of the government in economic activities and creating a level playing field and a transparent business environment hold far-reaching significance as the country’s economic expansion decelerates and the economy undergoes a long-term transition toward an innovation- and consumption-driven growth model, the CEN added.