3rd Plenary Session of the 20th Central Committee of the CPC: Announced New Reforms Will Ignite Global Cooperation

by Admin (Posted on July 28, 2024)

By Allawi Ssemanda

From July 15 to 18, the third Plenary Session of the 20th Central Committee of the Communist Party of China (CPC) was held successfully in Chinese capital, Beijing. This plenum came at a time when the world is faced with grave and complex challenges such as slow economic recovery, confrontation, power politics by some countries, and block formation. It also came at a time when tens of thousands of people have died in avoidable wars like Israel’s war against Gaza which the UN has described as “terrible” and bringing the strip closure to “human catastrophe.”

The plenum saw discussion of a report on the work of the Political Bureau. President Xi Jinping who is also the General Secretary of the CPC Central Committee attended and made some important comments. At the end, the plenum unanimously adopted the Resolution of the Central Committee of the CPC re-affirming on “Further Deepening Reform Comprehensively to Advance Chinese Modernisation.”

While one may argue that the third plenary session of the CPC Central Committee which is normally held once every five years concerns China alone, if critically analysed, it is of great significance not only to China but entire world. This is because, it is during this time that that the world’s second largest economy – China under the CPC leadership meet to plan and strategise for the country’s short and longterm socio-economic policies. As the second largest economy and Africa’s largest trading partner and financier of the continent’s most infrastructure projects, in all ways, policies made in Beijing also have direct bearing on economic development of the rest of the world.

Indeed, just a day after the commencement of the third Plenary Session of 20th Central Committee of the CPC, the International Monetary Fund (IMF) on the 16^th July 2024 upgraded China’s 2024 economic growth forecast to 5% beating the U.S’ economic growth projection which IMF downgraded from April’s 2.7% to 2.6%. In the same forecast, IMF put 2024 growth forecast for the 20 Europe’s countries that share the euro currency at just 0.9%, while Japan’s outlook was downgraded from 0.9% to 0.7%!

Noting that Chinese economy has been doing well, the IMF attributed China’s continued good economic performance to among others what the IMF called China’s “program of of trading and equipment upgrade.” Announced in March this year, Beijing says the program will boost consumption and investment and growth at the same time.

When analysed, the adopted resolution which was announced in the communique talks about “Deepening Reform Comprehensively to Advance Chinese Modernisation,” it is an open secret that religiously, China has not been selfish in their development plans and they have consistently executed plans and strategies that also look at the well being and development of the rest of the world. A case in point is the Global Development Initiative (GDI) announced by President Xi Jinping in 2021 to accelerate efforts in achieving the Sustainable Development Goals of 2030. The GDI suggests ways to address key human challenges.

Also, China introduced the Belt and Road Initiative (BRI) which several studies have concluded is helping in sparking economic growth in all implementing countries. Indeed, a World Bank study – “How Much Will the Belt and Road Initiative Reduce Trade Costs?” conducted in 191 countries concluded that BRI projects have made trade easier in BRI participating countries by “reducing shipment times and trade costs at country-sector level.” BRI stands as a testament to China’s commitment to enhancing five connectivities or “five C” experts describe as key drivers of economic take off. The “five Cs” are; Policy Connectivity, Trade Connectivity, Infrastructure Connectivity, Financial Connectivity and; People-to-People Connectivity.

Such is enough evidence that while the 3^rd Plenary Session of the 20^th Central Committee of the CPC primarily benefit, if well implemented such polices by all means have a significant contribution as far as economic development of the rest of the rest of the world is concerned.

Indeed, while describing China’s economic growth projection as positive on the 16^th of July, the IMF observed that led by China, “Asia’s emerging market economies remain the main engine for the global economy” stressing that today, China and India  “accounts for almost half of global growth.”

“The very fact that China is also bigger, it means it has a bigger footprint in the rest of the world.  An increase in the trade surplus might be small from Chinese perspective, but it could be big from the perspective of the rest of the world,” emphasised IMF’s Division Chief researcher Jean-Marc.

Looking at the communique from the plenum, one can safely argue that the new reforms will generate economic growth opportunities and hence, a firm foundation as the country intensify efforts to become a modern socialist country by the mid-century.

From historical perspective, the opportunities these reforms will bring will as well benefit the world as we race to achieve the United Nations’s 2030 SDGs agenda. This is premised on the fact that for the last several decades, China’s economic growth has left different parts of the country enjoying the same benefits. For example, to date, the country remains a major source of  trade, investment, and innovation to the world especially the global south.

It is important to recall that, the  3rd plenary session of the 11th CPC Central Committee of 1978 introduced these reforms, laying a foundation to transform China from a peasantry and made it economic power house as the rest of the world shared benefits of China’s economic growth.

Today, the country’s economic transformation which came as a result of Beijing’s reforms has seen China’s over 800 million people lifted out of extreme poverty – a record praised by different scholars and UN as historic.

To conclude, from historical perspective and the current trend characterised by China’s desire of building a community of shared prosperity and a community of shared future for mankind, one can safely argue that the resolutions adopted at the just concluded 3rd Plenary Session of the 20th Central Committee of the CPC will not only help shape China’s future but will help Ignite Global Cooperation and development in the new era.

The writer is a senior research fellow at the Development Watch Centre.

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