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China's major economic achievements in 2007
I. Major Economic Achievements of China in 2007

1. Major Economic Indicators:

Xie Fuzhan, Director General of the National Bureau of Statistics, said at a press conference on January 24, 2008: In 2007, China's national economy maintained a steady and rapid development, presenting a good operating situation of faster growth, structural optimization, improved efficiency, and improved people's livelihood.

Preliminary accounting, the annual GDP of 24,661.9 billion yuan, an increase of 11.4% over the previous year, accelerated by 0.3 percentage points, for five consecutive years, the growth rate of 10% or more. Quarterly, the first quarter growth of 11.1%, the second quarter growth of 11.9%, the third quarter increased 11.5%, the fourth quarter growth of 11.2%. In terms of industries, the added value of the primary industry was 289.1 billion yuan, up 3.7%, down 1.3 percentage points; the added value of the secondary industry was 1,213.81 billion yuan, up 13.4%, accelerated by 0.4 percentage points; the added value of the tertiary industry was 963.28 billion yuan, up 11.4%, accelerated by 0.6 percentage points.

1. Agricultural production continued to develop steadily, with another bumper grain harvest. The total annual grain output reached 501.5 million tons, an increase of 3.5 million tons over the previous year, an increase of 0.7%, making it the fourth high-yield year in history, which is the first time since 1985 that China's grain production has achieved an increase in output for four consecutive years.

2, industrial production growth accelerated, corporate efficiency. The annual value added of industry above designated size increased by 18.5% over the previous year (17.4% in December), accelerating by 1.9 percentage points. Among them, state-owned and state-controlled enterprises increased by 13.8%; collective enterprises increased by 11.5%; joint-stock enterprises increased by 20.6%; foreign and Hong Kong, Macao and Taiwan investment enterprises increased by 17.5%. Heavy industry grew by 19.6% and light industry by 16.3%. The production and sales rate of industrial enterprises above large-scale reached 98.1%.

January to November, the country's industrial scale above realized profits of 2295.1 billion yuan, an increase of 36.7% over the same period last year, an increase of 6.0 percentage points. 39 industrial sectors all realize profits. Among them, the transportation equipment manufacturing industry increased by 68.7%, special equipment manufacturing industry increased by 61.4%, the chemical industry increased by 51.5%, the coal industry increased by 49.1%, the iron and steel industry increased by 47.2%, the power industry increased by 39.0%.

3, the rapid growth of fixed asset investment, real estate development investment accelerated significantly. The annual social fixed asset investment of 13723.9 billion yuan, up 24.8% over the previous year, accelerated by 0.9 percentage points. Among them, urban fixed asset investment 1174.14 billion yuan, an increase of 25.8%, accelerated by 1.5 percentage points (December 1680.9 billion yuan, an increase of 19.6%); rural fixed asset investment of 19825 billion yuan, an increase of 19.2%. In the urban investment, divided into industries, the primary industry investment 146.6 billion yuan, an increase of 31.1% over the previous year; the secondary industry 510.2 billion yuan, an increase of 29.0%; the tertiary industry 6,492.8 billion yuan, an increase of 23.2%. By region, investment in the eastern region increased by 21.0% over the previous year, the central region increased by 34.0%, and the western region increased by 28.2%. Annual real estate development investment of 2528 billion yuan, an increase of 30.2% over the previous year, accelerated by 8.4 percentage points.

4, the market sales growth faster, the growth rate showed a gradual increase in the trend. The total retail sales of consumer goods for the year amounted to 8,921 billion yuan, an increase of 16.8% over the previous year, an increase of 3.1 percentage points (901.5 billion yuan in December, an increase of 20.2%). In terms of urban and rural areas, retail sales of consumer goods in cities amounted to RMB 604.11 billion, an increase of 17.2%, accelerated by 2.9 percentage points; retail sales of consumer goods in counties and counties below amounted to RMB 2,879.9 billion, an increase of 15.8%, accelerated by 3.2 percentage points. By industry, wholesale and retail trade grew by 16.7%, and accommodation and catering by 19.4%. Among the major categories of goods retailed in the wholesale and retail industry above the limit, petroleum and products, automobiles, construction and decoration materials, furniture, household appliances and audio-visual equipment, clothing, shoes, hats, needles and textiles, cosmetics, and sports and recreation goods all grew by more than 20%.

5, consumer prices rose faster, housing sales prices rose more. Annual consumer prices rose 4.8%, an increase of 3.3 percentage points over the previous year (up 6.5% in December), of which, urban rose 4.5%, rural rose 5.4%. Rising food and housing prices were the main reasons for the increase in the overall price level. By category, food prices rose 12.3%, pulling the total price level up by 4.0 percentage points; residential prices rose 4.5%, pulling the total price level up by 0.6 percentage points. In food prices, grain rose 6.3%, meat, poultry and their products rose 31.7%, eggs rose 21.8%. The rest of the commodity prices rose and fell. For the year as a whole, retail commodity prices rose by 3.8% (up 5.6% in December). Purchase prices of raw materials, fuel and power rose 4.4% (up 8.1% in December). Ex-factory prices of industrial goods rose 3.1% (up 5.4% in December). For the whole year, housing sales prices in 70 large and medium-sized cities rose 7.6% over the previous year, an increase of 2.1 percentage points over the previous year.

6, rapid growth in foreign trade, foreign direct investment continued to grow. The annual total import and export amounted to 2173.8 billion U.S. dollars, an increase of 23.5% over the previous year, a drop of 0.3 percentage points. Among them, exports of 1,218 billion U.S. dollars, an increase of 25.7%, down 1.5 percentage points; imports of 955.8 billion U.S. dollars, an increase of 20.8%, accelerated by 0.8 percentage points. Import and export offset, trade surplus of 262.2 billion U.S. dollars, an increase of 84.7 billion U.S. dollars over the previous year. Annual actual use of non-financial institutions of foreign direct investment of 74.8 billion U.S. dollars, an increase of 13.6% over the previous year. At the end of the year, the balance of the country's foreign exchange reserves reached 1.53 trillion U.S. dollars, an increase of 43.3% over the previous year.

7, the rapid growth of residents' income, employment increased more. The per capita disposable income of urban residents for the year was 13,786 yuan, an increase of 17.2 percent over the previous year, and after deducting the price factor, the real growth was 12.2 percent, accelerated by 1.8 percentage points. The net income per capita of rural residents was 4,140 yuan, an increase of 15.4% over the previous year, net of price factors, an increase of 9.5% in real terms, an acceleration of 2.1 percentage points. At the end of the year, the balance of residents' savings deposits amounted to 1,725.34 billion yuan, an increase of 1,096.7 billion yuan over the end of the previous year. For the year as a whole, 12.04 million people were newly employed in cities and towns, an increase of 200,000 people over the previous year; the registered unemployment rate in cities and towns at the end of the year was 4.0%, a drop of 0.1 percentage point from the end of the previous year.

8. Money supply grew faster and loans increased more. Loans from financial institutions increased by 3,632.3 billion yuan from the beginning of the year, 448.2 billion yuan more than the previous year. Deposits increased by 538.78 billion yuan over the beginning of the year, an increase of 459.9 billion yuan over the previous year. The annual cash injection of 326.2 billion yuan, 22.1 billion yuan more than the previous year.

The main problems in the current operation of China's economy is that the risk of economic growth from fast to overheating still exists, the pressure of price increases, structural contradictions are still prominent, the economic development mode is relatively crude, the institutional mechanism is not sound enough and so on. In the new year, we should unswervingly implement the strategic plan and overall requirements of the 17th CPC National Congress and the Central Economic Work Conference, implement prudent fiscal policy and tight monetary policy in accordance with the guiding ideology of controlling the total amount, stabilizing prices, adjusting the structure, and promoting balance, accelerating the transformation of the mode of economic development, focusing on the promotion of structural adjustment, accelerating reform and opening up, and striving to achieve a sound and rapid development of the national economy. (Source: National Bureau of Statistics)

2. The main features of the national economic development in 2007:

In 2007, the national economy in general maintained a stable and rapid development, prices showed structural rise, positive changes in the economic structure, the economic efficiency continued to improve substantially, and the benefits for residents continued to increase significantly.

The first is the steady and rapid growth of the national economy.

Since 2003 China's GDP has been growing faster than ever, with the growth rate in 2007 reaching its highest in the past five years.

The second feature is that prices have shown a structural increase.

Prices were the most important concern in the economic operation in 2007.

Prices in 2007 showed an accelerated momentum of increase in general. This is largely the result of food prices pull.

The third feature is the growth of structural adjustment, economic efficiency. Economic structure is mainly reflected in two aspects, the first is to control the "two high and one capital" products. The "two highs" refer to high pollution and high emissions, which used to be called high energy consumption and high emissions: the "one capital" refers to resource-based products. As a result of macro-control, the export of "two highs and one capital" products has declined somewhat after the reduction of the export tax rebate rate for such products. In addition, a very important change in the field of investment is reflected in the accelerated growth of investment in the central and western regions, compared with the eastern regions, especially in Guangdong, Zhejiang and other more developed regions, the growth rate is slightly weaker, but also more than 10%. Since 2007, China's fiscal revenue has maintained a rapid growth of more than 30%. The substantial increase in fiscal revenues has solved many problems that we wanted to do in the past but could not. For example, to increase the income of the low income insurance, to increase the construction of the new rural cooperative medical organization, to reduce or waive the agricultural tax, to reduce or waive the tuition and miscellaneous fees of the nine-year compulsory education in rural areas, and so on.

Fourth, the number of employed people has increased, reaching the highest level in recent years. At the same time social security has been further strengthened.

3, the reasons for the good momentum of development

First, the positive macro-control measures. 2007, in fiscal policy, monetary policy, the introduction of a number of measures, 10 times to increase the reserve requirement ratio, 5 times to increase the deposit and lending rates of financial institutions and so on. In terms of fiscal policy, a series of measures were introduced to raise tariffs on some export products and reduce the tax rebate rate on export products.

Secondly, it was affected by changes in the growth rate of the world economy. Although the economy in 2007 was not so smooth, there were many unexpected problems, such as the subprime mortgage crisis in the United States, a substantial increase in oil prices, the international market for primary products, food prices, etc., but, from the current point of view, the world economy has maintained a relatively rapid growth.

China's economy is very open, with total trade accounting for nearly 70% of GDP. A large part of our economy is affected by the international market and by changes in the growth rate of the world economy. If the world economic situation is good, we will also be good, and this relationship will become closer and closer in the future.

Thirdly, the 3 major demands that are often examined in the short-term economy: consumption, investment and external demand, have all maintained a relatively rapid growth. Particularly noteworthy is consumption, whose growth accelerated month by month in 2007.

4, the current need to pay attention to the contradictions and problems

The first is the growth of overheating. Usually from a local or a particular enterprise's point of view, they are not worried about overheating, but from a macroeconomic level, it is necessary to be concerned about the phenomenon of overheating. Some companies believe that the faster the growth rate, the better, the faster the roll, the larger the scale. However, this implies the allocation of resources in the future. Why is China's "two high and one capital" product profits so good? The main reason is that the international market prices rise too quickly, giving enterprises "great demand" signal. But the actual situation is not the case, due to external factors led to price increases over time resulting in excessive investment and waste of resources, which are macro issues that need to be considered and grasped.

The second is price. Structural rise, the risk of evolving into a clear inflation still exists. The reason why we have to put forward to prevent the risk, because now not only food prices rise, due to rising food prices driven by labor costs are actually increasing. In addition there are factors in the international market, the prices of non-ferrous metals and other primary products are rising, all of the above may interact with food prices.

The third aspect is that the economic structure is not reasonable, with unbalanced development of regions, industries, investment and urban and rural structures. But to put it another way, there are times when these issues tend to become spaces and points of focus for economic development.

Fourth, is the external risk is still large. In particular, the subprime crisis, highly volatile oil prices, escalating international trade frictions, and imbalances in world trade will bring us new difficulties and challenges.