Outlook on the 12th Five-Year Plan

The 12th Five-Year Plan seeks to address equality and create an environment for more sustainable growth by prioritizing more equitable wealth distribution, increased domestic consumption, and improved social infrastructure and social safety nets. The plan is representative of China's efforts to rebalance its economy, shifting emphasis from investment toward consumption and from urban and coastal growth toward rural and inland development. The plan also continues to advocate objectives set out in the 11th Five-Year Plan to enhance environmental protection, accelerate the process of opening and reform.

Avoid excessive expansion of cities

Efforts should be made to push forward urbanization with focus on the transfer of eligible rural households to urban area. Mega cities are expected to enhance and improve population management, while small and middle-sized cities and towns relax restrictions on settlements of migrants. A system should be set up to protect the rights of migrant workers.

Rein in widening gap between rich and poor

Efforts should be made to rationalize income distribution system, cement the role of tax policies in income distribution adjustment, with which excessively high incomes would be adjusted, while the widening gap between urban and rural areas and among different industries is to be snapped.

Efforts will also be made to improve civil servants' salary system and deepen the distribution reform in public institutions.

Improve healthcare system

Efforts should be made to develop the basic healthcare system into a public service accessible to all people and give priority to people's demands for basic health care service.

Build the Framework for the Peaceful Development across the straits

Efforts will be made to stick to the path of "peaceful reunification" and the policy of "one country, two systems" and adhere to the Eight-point Proposal, which aims at pushing forward reunification. Fully implement the Six-point proposal and the thoughts on promoting the cross-straits relations.

Efforts should also be made to consolidate the foundation of cross-straits relations, boost communication across the straits and construct a framework for the peaceful development across the straits.

Accelerate the reform in fiscal and tax system

Efforts should be made to further promote fee-to-tax reform, improve resource tax system and prepare for the launch of environmental protection tax. In addition, research the feasibility of property tax.