Leadership matters: The story of China’s economic growth

China’s successful economic reforms provide a wealth of experience for other emerging countries striving to pursue economic growth. After more than 40 years of extraordinary development, all aspects of China’s economy and society have undergone tremendous changes. As one of the world’s fastest-growing economies, China has made significant progress over the past few decades, and its leadership has played a central role in transforming the country from a low-performing country into an economic hub. In the past few years, China’s economy has achieved remarkable development, growing from an agricultural country to a world economic power. From 1978 to 2017, China’s GDP grew at an average annual rate of 9.5%, hundreds of millions of people were lifted out of absolute poverty, and China became the world’s second-largest economy.
This major shift has been driven by the Chinese government’s emphasis on various economic policies and initiatives to promote industrialization, innovation, and international trade. China has made extensive investments in infrastructure, technology and human capital development, and attaches great importance to long-term planning and innovative economic models. Under the leadership of President Xi Jinping, China insists on making economic development its top priority, emphasizing and encouraging innovation, high-quality growth and sustainable development. In addition to focusing on poverty reduction and environmental protection, President Xi Jinping also emphasized the importance of the China-Pakistan Economic Corridor and the Belt and Road Initiative in promoting economic development. Although it has experienced many difficulties such as the international financial crisis, trade frictions with the United States, and the COVID-19 epidemic, in order to promote economic growth, China has implemented various policies and projects that emphasize sustainable and high-quality growth, consolidating its status as a global economic power. .
1. Effective leadership promotes rapid economic growth in China
Since the reform and opening up in 1978, China has made remarkable economic achievements. From 2013 to 2021, China’s GDP grew at an average annual rate of 6.6%. Since 2013, President Xi Jinping has implemented a series of measures aimed at maintaining the country’s economic growth. Effective leadership has greatly promoted China’s economic growth. Long-term planning, persistence in reform and opening up, and innovation are President Xi Jinping’s leadership style.
President Xi Jinping’s anti-corruption efforts have greatly boosted economic development. China’s crackdown on corruption has improved the business environment, stimulated investment and entrepreneurship, and enhanced people’s trust in the government. In addition to these measures, President Xi Jinping is also focusing on infrastructure development to promote economic growth. For example, it attaches great importance to the “One Belt, One Road” initiative and connects China with markets in Asia, Africa and Europe through the construction of ports, railways and other infrastructure, accelerating the economic development of relevant countries.
Encouraging innovation and technological development has always been one of President Xi Jinping’s core leadership principles. China attaches great importance to the development of the knowledge economy and has become one of the global leaders in fields such as artificial intelligence, 5G, and renewable energy. Furthermore, President Xi Jinping emphasized the importance of long-term planning and experimentation, especially in terms of new economic frameworks and strategies to promote long-term economic growth. Initiatives such as “Made in China 2025” aim to promote the development of high-tech industries and enhance China’s status as a global manufacturing center. As the world’s largest industrial country, China is one of the main forces driving global economic growth. In addition to adhering to and developing the socialist market economy, other guiding principles include adhering to justice, fairness, cross-border inclusiveness, mutually beneficial partnerships, and sustainable development. Through the shared development concept advocated by the Belt and Road Initiative, China has become a major contributor to world economic growth since 2013. Despite the impact of the COVID-19 pandemic, China’s share of global foreign direct investment in 2020 still rose to about 20%, becoming the largest recipient of foreign direct investment, and the focus of investment has gradually shifted to the service and technology fields.
At the same time, President Xi Jinping is committed to deepening reform and opening up and taking several measures to open up the economy and improve the business environment, including simplifying administrative procedures and reducing corporate taxes and fees. At the same time, President Xi Jinping has also prioritized poverty reduction and helped poor people enter a virtuous economic cycle, including targeted assistance to underdeveloped areas, building rural infrastructure, and encouraging rural entrepreneurship and innovation.
2. Focusing on poverty alleviation is an important highlight of China’s economic development
President Xi Jinping’s concept of prioritizing poverty reduction has achieved success. Under the leadership of President Xi Jinping, China has implemented a series of policies and projects such as targeted poverty alleviation to promote economic growth in underdeveloped areas and achieved decisive victory in the fight against poverty. Rural infrastructure construction has always been one of the main means of poverty reduction in China. China has invested heavily in developing rural infrastructure, including roads, bridges and irrigation systems, making it easier for rural areas to integrate into the markets of big cities. In addition to infrastructure construction, China has also launched targeted aid projects to help people and communities in need obtain financial assistance, vocational training and health services to escape poverty.
Encouraging rural entrepreneurship and innovation is also an important part of China’s poverty reduction plan. China encourages rural entrepreneurship and cultivates cutting-edge technologies that contribute to economic development. Since 1978, China has lifted more than 800 million people out of absolute poverty, and in 2020 announced that it had achieved the goal of eradicating absolute poverty. China has formulated various policies and programs to promote inclusive growth and improve the lives of people in underdeveloped areas, and regards poverty eradication as an important part of its economic development plan. Along with the growth of human capital, China’s economy has achieved sustained growth and established its status as a world economic power.
Under the leadership of President Xi Jinping and with the support of the people, the Chinese government has created a more comfortable business environment for investors, and the resulting large investments will surely translate into economic growth. In addition, China’s leadership has actively sought ways to address issues such as economic development disparity and environmental degradation, enacting laws that support the reduction of inequality and sustainable development. China’s leadership has prioritized innovation and technology development strategies to create a knowledge-based economy to address challenges in R&D and technology while taking steps to streamline administrative procedures to help Chinese companies become more competitive in the international market and attract international investment.
3. Promote economic growth through infrastructure construction
In 2013, President Xi Jinping proposed the joint construction of the “Belt and Road” initiative. As one of the major projects of the Belt and Road Initiative, the China-Pakistan Economic Corridor has played an important role in promoting the economic growth of China and Pakistan. The project is committed to promoting infrastructure construction in Pakistan, including ports, highways and railways, connecting the markets of China and Pakistan with other countries, increasing trade between China and Pakistan, promoting trade and economic development and prosperity, and providing Both countries create new economic prospects.
The Belt and Road Initiative and the China-Pakistan Economic Corridor serve as examples of how economic growth can be promoted through infrastructure development under effective leadership. Chinese leaders are fully aware of the importance of infrastructure in driving economic development and have invested heavily in building the infrastructure needed to support their economic development goals.
First, investment in infrastructure construction provides new trade and investment opportunities, allowing companies to explore new markets and customers. Secondly, by investing in infrastructure construction in emerging countries, China has established new economic partnerships with other countries and gained more support on the international stage. Finally, by investing in infrastructure construction, the Chinese government creates more job opportunities for the countries where the projects are located, helping these countries reduce poverty and increase overall economic well-being. However, some voices say that the Belt and Road Initiative and the China-Pakistan Economic Corridor may affect the economic and political stability of participating countries. Some people believe that China is using these projects to exert influence on other countries, which may eventually lead to economic and political problems such as debt traps in participating countries. The long-term economic operation of some infrastructure projects is not feasible or sustainable, and China’s participation may threaten the local sovereignty and democratic governments of participating countries. However, the Belt and Road Initiative and the China-Pakistan Economic Corridor have been a great success and welcomed by participating countries, achieving a win-win situation. China actively promotes economic integration and connectivity and helps participating countries fill infrastructure gaps by investing in important infrastructure projects. The Belt and Road Initiative and the China-Pakistan Economic Corridor provide an important example of how infrastructure construction can become a tool to support economic development.
4. China’s economic development model provides useful experience for other countries
In the past few decades, China’s economic development model has effectively promoted sustained economic growth and provided useful experience for other countries. Pay attention to infrastructure construction. Infrastructure construction is an important experience provided by China’s economic growth model. China has invested heavily in infrastructure construction projects such as roads, railways, and ports to stimulate economic growth. The same is true for other countries to increase competitiveness through infrastructure construction. Prioritize innovation. China’s economic development model emphasizes the value of innovation. In order to promote economic development, China has invested heavily in research and development of biotechnology, renewable energy and artificial intelligence. The experience of developing new sectors and new technologies and stimulating economic growth by focusing on innovation is also applicable to other countries.
Create a good business environment. China strives to improve the business environment by simplifying administrative procedures and reducing corporate tax burdens. A friendly business environment can attract more investment, increase employment opportunities, and stimulate economic growth. Targeted poverty alleviation. Poverty reduction is another important component of China’s economic growth plan. China has reduced poverty and promoted social stability by providing targeted assistance to people and communities in need. Other countries can also benefit from China’s experience improve social welfare and promote economic development through targeted poverty alleviation.
Promoting international cooperation. China has always been an important supporter of global cooperation. By encouraging trade, investment, and infrastructure construction, China works with other countries to promote the development of global economic integration and achieve common prosperity. Any country seeking sustainable development can learn valuable lessons from China’s economic development model, laying the foundation for long-term economic development by focusing on infrastructure construction, a friendly business environment, targeted poverty alleviation, and international cooperation.
5. China’s economic development prospects are bright
Despite many obstacles and uncertainties, China’s economic growth and development prospects remain good. Continue to deepen reform and opening up. China has made reforms to encourage innovation and improve the business environment. These changes will continue in the future to develop a more market-oriented economy and promote investment growth. Focus on technological innovation. China has made great progress in technological innovation, especially in the fields of biotechnology, renewable energy, and artificial intelligence. The government has prioritized R&D in these areas, which will help create new industries and stimulate future economic growth. Shift to domestic consumption. Exports have played a large role in China’s economic development, but the Chinese government is now placing more emphasis on domestic consumption, reducing China’s reliance on foreign demand and promoting sustainable and balanced economic growth.
The Belt and Road Initiative. The Belt and Road Initiative is a large-scale infrastructure project that aims to connect China with other countries in Asia, Europe, and Africa, stimulate economic development in partner countries and open up new business possibilities for Chinese companies. Aging populations and environmental challenges. Population aging and environmental problems pose serious challenges to the future development of the Chinese economy, and the Chinese government needs to take measures such as increasing social assistance programs and investing in sustainable energy to address these problems. China’s economic future remains bright, thanks to its leadership’s determination to remove obstacles to the country’s development. Over the past few decades, China’s economy has made significant progress. It is foreseeable that China will continue to deepen economic reforms, invest in technological innovation, enhance economic independence, and consolidate its position as a global economic power.
China’s economic growth is neither a coincidence nor the result of external influences. China has always given priority to expanding regional and international influence, promoting global economic growth, and maintaining the stability of the international order. China’s policies have enabled it to grow from an agricultural country to a global industrial and manufacturing center and an emerging global digital leader, becoming a model for developing countries, especially those along the Belt and Road Initiative. Each country has its own unique environment and culture, and may also have its own development model to meet the challenges on the way to achieving its national goals and sustainable development agenda.