Qian Naicheng, Ambassador of China to Turkmenistan
1. Since the beginning of this year, the international situation has been difficult and complex, and the growth of the global economy is clearly slowing down. In this regard, the Chinese Government effectively coordinated the fight against the COVID-19 pandemic and efforts on socio-economic development, intensified the adjustment of macroeconomic policy and introduced a package of policies and measures to stabilize the economy. This stabilized the economic market as a whole and pushed the economy towards achieving positive growth in the second quarter. In the first half of the year, China’s GDP grew by 2.5% compared to the same period last year, and in the second quarter, growth was 0.4%. This result was achieved against the background of a decrease in the main indicators of production and demand in April and May. It wasn’t easy, and reflected the strong resilience of the Chinese economy.
2. The Chinese Government has stepped up efforts to ensure supplies and stabilize prices in the market, paying special attention to the production of food (grain) and energy, which has ensured the overall stability of prices in the domestic market. In the first half of the year, consumer prices rose by 1.7% year-on-year, which is below the expected target level of about 3% for the whole year. The core consumer price index (CPI), which excludes food and energy, rose by 1% and remained mostly stable.
3. Regrading notable problems, the Chinese Government continued to step up efforts to stabilize employment and strengthen basic guarantees to improve the living standards of the people, and gradually results came up. In the first half of the year, 6.54 million new jobs were created in cities and towns across the country. Since May, the unemployment rate in cities across the country has changed from the previous upward trend and has been declining for two months in a row. According to official statistics, in June this indicator decreased to 5.5%.
4. In the first half of the year, disposable income per capita in China increased by 3% in real terms compared to the same period last year, although it is lower than in the first quarter, but outpaces the economic growth. The national net transfer income per capita increased by 5.6% year-on-year in nominal terms, which is 0.9 percentage points faster than total income.
5. China’s foreign trade imports and exports overcame the adverse effects of the tightening of external factors and the short-term impact of the pandemic, and also maintained positive growth, demonstrating high resilience. In the first half of the year, the total volume of imports and exports of Chinese goods increased by 9.4% year-on-year, while grew China’s exports surged by 13.2%. In June, the total volume of imports and exports of goods increased by 14.3% year-on-year, which is 4.7 percentage points higher than in the previous month.
6. In the second half of this year, we will adhere to the general working principle of achieving progress in stability, fully and accurately implement a new development concept, accelerate the construction of a new development model, and focus on promoting quality development. We will fully implement the requirements of pandemic prevention, economic sustainability and safe development, consolidating the trend of economic recovery and improvement, focusing on stabilizing employment and commodity prices, keeping the economy operating within reasonable limits and striving to achieve the best results.
7. We will coordinate the work of combating the pandemic and socio-economic development in a highly effective manner, adhering to the principle of “people above all, life above all”, observing the rules for countering imported cases of diseases and preventing a jump in the spread of coronavirus in the country, and we will also continue to insist on the policy of “dynamic zero-COVID”. When a pandemic occurs, we must immediately and strictly prevent it and decisively control what needs to be managed, as well as avoid relaxation or fatigue from this struggle. We will resolutely and seriously implement the policies and measures for the prevention and control of COVID-19, determined by the Central Committee of the Communist Party of China, in order to ensure the orderly functioning of key mechanisms affecting socio-economic development. We must resolutely preserve what must be protected. Careful work needs to be done to track mutations of the virus, research and development of new vaccines and medicines.
8. We will protect the limits of security in all aspects, strengthen food security guarantees, increase the ability to ensure the supply of energy resources, as well as intensify efforts to plan and create a new energy supply and consumption system. We will stabilize the real estate market, adhere to the position “housing is intended for living, not for speculation.” At the same time, making full use of the policy tools in accordance with the specific conditions of the cities, to maintain strong demand and the need to improve housing conditions, consolidate the responsibilities of local governments to ensure the provision of housing and stabilize the welfare of the people. We will maintain the overall stability of the financial market and fight financial crimes harshly.
9. We will use reforms and openness as a driving force for economic development. It is necessary to continue the implementation of the three-year action plan for the reform of state-owned enterprises. We must promote the standardized, healthy and sustainable development of the platform economy, complete its targeted correction, introduce normalized supervision in this direction and focus on launching a number of green investment projects. It is necessary to actively promote exports and expand imports, work well, stimulating the introduction of technologies and foreign capital, and contribute to the qualitative development of the joint construction of “One Belt, One Road”. /// nCa, 25 August 2022 (in cooperation with Embassy of China in Ashgabat)