China's Seventh Five-Year Plan (1986-90)
its implications for the Hong Kong economy
Introduction
At a special conference of the Chinese Communist
Party (CCP) held in September 1985, a proposal for China's
Seventh Five-Year Plan was announced by the Central
Committee of the CCP. Apart from setting targets for a
few important economic aggregates like national income and gross agricultural and industrial output, the proposal
concentrates more on policy and strategy than targets and
figures. Nevertheless, the proposal contains important guidelines for drafting the actual Five-Year Plan
scheduled to be approved by the National People's Congress in early 1986.
2.
Although past experience suggests that the
performance of China's economy does not always follow strictly the plans set by the Government, the plans are
still important, as they reflect the state of mind of the Chinese policy-makers at the time when the plans are formulated. This paper gives a summary of the main features of the Seventh Five-Year Plan, together with an assessment of its implications for the Hong Kong economy.
Background leading to the Seventh Five-Year Plan
3.
A brief review of the performance of China's economy during the years 1981-85 covered by its Sixth Five-Year Plan is of help in understanding the background leading to the Seventh Five-Year Plan.
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