It might seem incongruous for a government that has vowed to give markets a “decisive” role in the economy to issue a new five-year plan. But the Chinese Communist party’s 13th strategy blueprint offers a window on how Beijing views the challenges of governance and economics — and insights into China’s directions, disagreements and dangers.
The plan’s intended audiences are a diverse group. The party will use the document to demonstrate leadership and mobilise the nation. For the government, the plan will be a tool of guidance and control. State-owned enterprises will study its implications for their financial support, overcapacity and any opportunities for sectors defined as “emerging strategic” and priority industries. The private sector will focus on favoured activities. Foreign investors can treat it as a preview of market potential and price expectations across asset classes. For public intellectuals, the planning process has allowed them the opportunity to express their views. The public, meanwhile, will look to the plan for big decisions on topics such as health, education and family planning.
To help explain the 13th five-year plan, the Center for Strategic and International Studies in Washington is publishing an impressive report. I would stress six points.