China
The programme still requires large scale imports of advanced
technology and a greatly increased balancing flow of export.
China's past record of prompt payment, and the relatively
modest external debt and debt service ratio has meant that
there have so far been no difficulties in attracting
adequate credit for her modernisation programme.
herself is concerned to avoid becoming over-committed, and
will seek to use counter-trade and other cooperative
arrangements to conserve foreign exchange where possible.
3. Economic development nas not followed a smooth path.
Agricultural reform based on the redistribution to peasant
housenolds of collectively owned land has led to a
significant increase in the Food production. But continued
development will be more difficult. Cultivable land remains
scarce and farming technology is backward.
Mineral
resources (especially oil, coal and certain non-ferrous
metais) could meet domestic demand and support foreign
exchange earnings, but infrastructive problems and energy shortages have resulted in production stoppages/due
sdue to the
development of the energy sector, communications
infrastructure and modernisation of industrial enterprises
are high priorities.
4.
China's foreign policy, marked by an emphasis on
China's "independence", is concerned to contain the spread
of Soviet and US influence and power, particularly in Asia.
Another key element has recently been the need to develop
closer relations with developed countries to help carry
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