The HKSAR's Work in Complementing the National 12th Five-Year Plan

Q & A

Q1. What is Five-Year Plan?
A1. China has adopted a five-year planning system since 1953, which formulates the development direction, strategies and indicators for the economic and social development of the country for the next five-year period. The National Five-Year Plan can be classified at three planning levels: national, provincial/municipal and individual specific projects. The one at the national level attracts more public discussion. It is formally known as "The Outline of the Five-Year Plan for National Economic and Social Development of the People's Republic of China" or, in brief, the "National Five-Year Plan".
Q2. What is the meaning of "12-5" in the expression "The National 12-5 Plan"?
A2. The first National Five-Year Plan was launched in 1953, covering the planning period from 1953 to 1957. Since then, the country has already implemented 11 National Five-Year Plans and will implement the National 12th Five-Year Plan from 2011 to 2015. "12-5" denotes the 12th Five-Year Plan.
Q3. Why is it that the National Five-Year Plan in Chinese is called "Wunian Guihua"（五年規劃） now and "Wunian Jihua"（五年計劃） in the past?
A3. China has been implementing the "Opening-up and Reform" policy since 1978 with a view to developing a socialist market economy. Since the National 11th Five-Year Plan launched in 2006, the original Chinese expression "Jihua" （計劃） had been changed to "Guihua" （規劃）to reflect the transition of the national economic structure from a planned economy to a socialist market economy.
Q4. What is the significance of the National Five-Year Plan?
A4. The National Five-Year Plan outlines the direction and targets of national development in the ensuing five-year planning period and specifically sets out the work focus of the Central Government. It serves as the blueprint and action agenda for national development and the work basis of government agencies at all levels.
Q5. Why should Hong Kong complement the drafting of the National 12th Five-Year Plan?
A5. The National 12th Five-Year Plan is the blueprint and action agenda of economic and social development of China. As an integral part of the country, the Hong Kong Special Administration Region has participated in complementing the drafting of the Plan in accordance with the "One Country, Two Systems" principle. This will enable the Central Authorities to feature in a more comprehensive and concrete manner Hong Kong's significant functions and positioning in the national development strategy when formulating the overall development plan, with a view to contributing to the country's future development. It will also further enhance co-operation between Hong Kong and the Mainland, and open up new opportunities for the further development of Hong Kong.
Q6. What are "planning indicators" of the Nation Five-Year Plan?
A6. As the blueprint and action agenda for the economic and social development of the country for the coming five years, the National Five-Year Plan includes a number of quantifiable planning indicators. These indicators are divided into two types, namely the "expected indicators" and "binding indicators"

The expected indicators (such as the target level of GDP growth) set out the targets of the country. The Mainland Government will endeavour to achieve the targets through guiding the market towards the desired course by providing suitable market environment and implementing appropriate policies. The binding indicators (such as the preserved farming area) set out the requirements laid down by the Central Government for the Government authorities at different levels to comply with. The latter should meet the requirements through appropriate deployment of public resources and the exercise of executive powers.
Q7. Are the planning indicators in the National Five-Year Plan applicable to Hong Kong?
A7. In accordance with the "One Country, Two Systems" principle, the planning indicators in the National Five-Year Plan are only applicable to the Mainland, but not the HKSAR. In the National 12th Five-Year Plan, Chapter 57 entitled "Maintaining the Long-term Prosperity and Stability of Hong Kong and Macao" is a dedicated chapter on Hong Kong and Macao. The relevant contents signify the Central Authorities' support for maintaining the long-term prosperity and stability of the two Special Administrative Regions and do not contain any planning indicators.
Q8. Are the relevant statements relating to the HKSAR in the National 12th Five-Year Plan in conformity with the "One Country, Two Systems" principle?
A8. "Support" is the key word in the relevant statements relating to the HKSAR in the National 12th Five-Year Plan. It signifies the Central Authorities' support for maintaining the HKSAR's long-term prosperity and stability. It also enables Hong Kong to formulate, under the "One Country, Two Systems" principle and the Basic Law, our own development direction, policies and measures complementing the overall national development strategies. The HKSAR will continue to exercise a high degree of autonomy under the "One Country, Two Systems" principle and the Basic Law.
Q9. Regarding the specific statements relating to the HKSAR in the National 12th Five Year Plan, what is the significance on Hong Kong's future development?
A9. The relevant statements have iconic significance on the future development of Hong Kong, as embodied in the following three major areas-
  1. The Dedicated Chapter emphasises the Central Authorities' support for Hong Kong in consolidating and enhancing our competitive advantages, including consolidating and enhancing Hong Kong's status as an international centre for financial services, trade and shipping, and support for Hong Kong's development into an offshore Renminbi (RMB) business centre and an international asset management centre. The relevant statements are helpful to Hong Kong in further consolidating and enhancing our overall competitive advantages, in particular our global influence in the financial sector.
  2. The Dedicated Chapter emphasises the Central Authorities' support for Hong Kong to nurture its emerging industries and develop the six industries where Hong Kong enjoys clear advantages, and will help to facilitate the six industries to widen their co-operation areas and scope of services in the Mainland.
  3. The Dedicated Chapter emphasises the Central Authorities' support for deepening the economic co-operation between the Mainland and Hong Kong; continuing the implementation of the Closer Economic Partnership Arrangement (CEPA); and confirming the significant functions and positioning of Hong Kong's co-operation with Guangdong under the Framework Agreement on Hong Kong/Guangdong Co-operation, including the establishment of a financial co-operation zone and a world-class metropolitan cluster with Hong Kong's financial system taking the lead; and opening up the Guangdong service industries for Hong Kong on a pilot basis and extending the pilot scheme to other regions. The relevant statements have defined clearly the core functions and positioning of Hong Kong in the development of the Pearl River Delta region, and provide a clear direction and basis for Hong Kong in taking forward further regional co-operation with other provinces.
Q10. Now that the National 12th Five-Year Plan has been promulgated, how would the HKSAR Government take forward the follow up work?
A10. The SAR Government has established a working relationship with the National Development and Reform Commission since 2008 and will continue to liaise with the relevant Central Government ministries on this basis to take forward the related work. Under the chairmanship of the Chief Secretary for Administration, we have strengthened the existing cross-bureaux steering committee to oversee the overall co-ordination of bureaux' efforts and their follow-up work. The Constitutional and Mainland Affairs Bureau will assist in the day-to-day liaison and co-ordination, while the Office of the Government of the HKSAR in Beijing will continue to assist in the liaison with the relevant Central Government ministries.


Back