Government and Policy
China to quicken urbanization to restructure economy
By Li Xing (chinadaily.com.cn)
Updated: 2010-08-08 09:08
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Haikou – China will take up tough reforms in the next few years to start breaking down the dual urban-rural structure, readjust income distribution, improve social safety net and advance basic public services.
All these constitute the main tasks in the restructuring of the Chinese economy, transform the mode of growth and promote urban-rural integration in China, Peng Sen, vice chairman of the National Development and Reform Commission, said while giving keynote speech at an international forum in Haikou of south China on Saturday.
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More than 200 scholars from home and overseas gathered at the two-day forum to brainstorm over the trends and challenges in urban-rural integration, which has been identified as the key rural reform in the coming 12th Five-Year Plan period (2011-2015).
China is drafting a comprehensive development plan for the coming five years, which is believed to be crucial not only for China's sustainable growth but also for the world economic development.
In his speech, Peng admitted that the economic divide between the urban and rural areas in China is "the main system barrier" in reducing urban-rural disparity.
As a result, the income gap between the urban and rural residents has widened from 2.8:1 in 2000 to 3.3:1 last year. "The gap in actual income is much larger if we take into account the medical care, education, social security, housing and social services that the urban residents enjojy," Peng said, adding that "has prevented rural residents from sharing the fruits of reforms but also violated the principle of equality and justice."
He also pointed out that despite China's rapid urbanization in the past 30 years, some 150 million migrant workers and their family members, who now live and work in urban areas, have not been treated as equal to their urban peers as far as social services are concerned.
"Resolving problems relating to their identity and their right to public services will have great impact over the healthy urbanization and social harmony," Peng said.
Meanwhile, China must also deal with inadequate rural pension and social safety net, incomplete urban and rural public service system, and weak rural grassroots democratic community management, he said.
