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III. Deepening Reform and Opening Up

Reform and opening up is crucial for driving development. We must focus on economic structural reform as we comprehensively deepen reform, taking all things into consideration in planning, working solidly to deliver concrete outcomes, making new breakthroughs in areas that can boost development as a whole, and strengthening new momentum to drive development.

We will do more to streamline administration and delegate more powers to lower-level governments and to society in general while improving regulation.

This year, we will delegate the power or cancel the requirement for government review for more items, cancel all non-administrative review, and establish a system for exercising well-regulated management over the government review process. We will deepen reform of the business system; further simplify the process for capital registration; take gradual steps to integrate the business license, the certificate of organization codes, and the certificate of taxation registration into one certificate; and overhaul and regulate intermediary services. We will draw up a negative list for market access, ensure that provincial-level governments make their lists of powers and responsibilities open to the public, and make sure that anything the law does not authorize is not done, while all duties and functions assigned by law are performed.

Local governments must completely let go of powers that should be delegated to the market or society, and properly exercise the power of review over all items that have been delegated to them by higher-level governments. We will exercise stronger oversight both during and after the handling of matters, and improve the network of services for both enterprises and the general public. We will work to improve the credit rating system, put in place a national unified system of codes for rating credit, and establish a platform for sharing and exchanging information on credit. We will, in accordance with the law, protect the information security of enterprises and individuals.

It goes without saying that powers should not be held without good reason. Governments at all levels need to adopt effective Ways to streamline administration, delegate powers, and transform their functions, creating an enabling environment for enterprises, making it easier to start up in business, and creating the right environment for fair competition. Procedures and processes must be simplified and time frames must be clarified for all items requiring administrative review, and cuts to government power will be made to boost market vitality.

We will take multiple measures to reform the investment and financing systems.

We will substantially reduce the number of investment projects that require government review, delegate more powers of review to lower-level governments, significantly streamline the need for preliminary review for investment projects, and conduct project reviews online. We will greatly relax market access for private investment and encourage the use of private capital to set up equity funds. The government will guide nongovernmental investments toward key projects by subsidizing investments, injecting capital, and establishing funds. We will deepen reform of railway investment and financing by making good use of railway development funds. We will actively promote models of cooperation between government and nongovernmental capital in developing infrastructure and public utilities.

We will take timely action to accelerate price reform.

This reform is aimed at ensuring the market plays the decisive role in allocating resources and significantly reducing the number of categories and items of goods and services for which prices are set by the government. In principle, we will lift pricing controls over all goods and services that can viably compete in markets. The government will stop setting prices for most pharmaceuticals arid delegate to lower-level governments the power to set prices for certain basic public services.

We will expand the trials of pricing reforms for electricity transmission and distribution, carry out pricing reforms for water used in agriculture, and improve pricing policies to make them more conducive to energy conservation and environmental protection. We will improve the pricing of resource products and fully implement a system of tiered pricing for electricity, water, and natural gas used for household purposes. At the same time, we must strengthen oversight over pricing, improve market order, and ensure the basic living standards of people on low incomes.