TNAG-1239-FCO40-1552-Future-of-Hong-Kong-1983 — Page 66

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prevailed at the Congress.

For example, Zhao stated that "while

we must be firm, we should guard against impetuosity.

We should

not overstep objective conditions and attempt the impossible,

but, where objective conditions permit, we should strive for what

can be achieved through effort". He also stressed that "reforms

in the cities are more complicated than in the countryside".

7. Summing up the Chinese performance in the five years from

1978 to 1982, Zhao announced that the total output value of

industry and agriculture rose in this period by 32.6%, an

annual average increase of 7.3%.

increase of 7.3%. Within this, the annual

average increase for agriculture was 7.5%, light industry 11.8%

and heavy industry 3.4%. As a result of the agricultural

increases most formerly rationed commodities were now

available without restriction. All in all, Zhao claimed,

China's economy had freed itself from the instability caused

by serious disproportions between its major branches and had

gradually moved onto a path of sound growth.

8. He set three goals for the next five years: balanced

development of agriculture and light and heavy industry;

emphasis within this on key energy and transport projects and

on technical transformation of existing industrial enterprises;

and continued efforts to improve living standards and strictly

control population growth (the average per capita income of

peasants in 1982 was yuan 270, double that of 1978, and the

average for workers was yuan 500). He also announced that

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CONFIDENTIAL