Jaya Josie, Visiting Professor of Zhejiang University International Business School.

Since the introduction of the 1978 economic reforms introduced by Deng Xiaoping, many analysts, commentators, and writers have characterised the economy in China has having abandoned communism and socialism in favour of a capitalist market economy. Notwithstanding these assessments China itself has declared its economy as a socialist market economy, or “socialism with Chinese characteristics”. Towards this goal China has always based its economy on an official mechanism of five-year planning and implementation in which CPC delegates, its institutions, and delegates from all levels of local, provincial, and central government participate. The plans are then discussed by members of the Communist Party of China (CPC). In the past forty years China’s socialist market economy has made significant gains and achievements. Many of the gains and achievements were highlighted during this year’s (2023) two democratic consultative sessions of the National People’s Congress (NPC) and the Chinese People’s Political Consultative Conference (CPPCC) held from March 5 to 13, 2023. The two sessions reviewed and evaluated the past five year plan, its implementation, achievements, and considers the recommendations for the next five year plan.  

While the NPC is the first session of the CPC, and its main democratic institution that discusses the policies of the state,  the second session includes the CPPCC, a patriotic front organization that regroups a broader section of the people. The CPPCC is a key mechanism for multi-party cooperation and political consultation under the leadership of the CPC. It is the only national political consultative institution, and provides an important mechanism for socialist consultative democracy. This instrument of democratic consultation is integral to the national system of governance in China. The CPPCC was founded by the CPC in 1949 just before the establishment of the People’s Republic of China. Its main role was to promote unity, multi-party cooperation, and people’s democracy. In the modern era the CPPCC is responsible for improving democracy, enhancing unity, advice and suggestions, and building consensus on affairs of the state.

There were significant highlights in the Prime Minister's government work report that drew much attention nationally and globally. The most important points of the Prime Minister’s report included China targets for economic growth at around 5 percent, and expected (Consumer Price Inflation) CPI increase at around 3 percent. The government aims to enhance the intensity and effectiveness of proactive fiscal policy with a projected deficit-to-GDP ratio of 3 percent. The report also presented some major tasks in monetary policies, employment, digital economy, rural revitalization, financial opening up, green and low-carbon development. Notwithstanding the focus on GDP indicators the Report highlighted the continuing the reforms to develop a socialist market economy with maintaining a balance in the roles of the government and the market economy.

One of the most important achievements underscored in the Report was the victory in the struggle against poverty and building on the programs for poverty alleviation. This achievement was acknowledged internationally by the United Nations and the World Bank. The poverty eradication programs of China are being seriously considered as a potential example to emulate by many developing and emerging economies.  

For addressing poverty and absolute poverty, China adopted proactive targeted policy options. Most impoverished regions in China were targeted as a priority. These regions were placed under special supervision to guarantee that they met their poverty reduction targets. Focus was placed upon promoting local industries to boost employment. In addition the program targeted ecological conservation, education, healthcare, social security and other areas. Follow-up support was provided for displaced people and increased efforts for meeting food security, clothing, and access to compulsory education, primary health care, housing and drinking water. The net result of these programs was that residents in the targeted areas saw their incomes grow considerably. To consolidate the poverty eradication program all the policies and policy instruments and oversight mechanisms were maintained to prevent the possible re-lapse into poverty. This program was supported by an equitable provision of access to basic public services.

On the world stage the Report also highlighted China’s international support to many countries during Covid-19 pandemic. In 2022 China was also host to the BRICS Summit and other international fora. The BRICS group of countries and the One Belt, One Road Initiative (OBOR) are important platforms for China’s outreach internationally. The BRICS and OBOR initiative present an ideal catalyst for China to promote its wider international opening up and expand economic and trade cooperation. Through the OBOR initiative China was able to promote its commitment to achieving shared growth. The policy was based on discussion, collaboration, and within market principles and international rules. In particular China placed emphasis on working within the multilateral trading rules and avoided using protectionism.        

During the period covered by the Report in 2022 China was also host to several international cooperation and diplomatic meetings. China hosted the Shanghai Cooperation Organization (SCO); the 14th BRICS Summit; the High-Level Dialogue on Global Development; the first and second OBOR fora for international cooperation, and the Beijing Summit of the Forum on China-Africa Cooperation (FOCAC). Hosting all these international meetings served to underscore China’s ability to expand its global partnerships in an international climate fraught with instability and uncertainty. Such partnerships build the foundation for an open world economy and a community with a shared future based on the principle of multilateralism.

No sooner did the two sessions conclude in March in Beijing, President Xi Jingping had to embark upon a very important diplomatic engagement with his Russian Counterpart, President Vladimir Putin in Moscow.  March is a significant month for diplomacy in China. On the 22 March 2013 President Xi Jingping had his first visit to Russia as the head of the People’s Republic of China (PRC). Almost exactly ten years later President Xi Jingping visited Russia for the second time as head of state of the PRC. President Xi Jingping visited Russia on 20 March 2023 as the re-elected President of the PRC.

Ten years earlier in 2013 it was a time of a global realignment in terms of the international geopolitical space, with the emergence of the Brazil, Russia, India, and China bloc of countries in 2009 and joined by South Africa in 2012 to culminate in the BRICS group. By 2019 in was reported that the BRICS group represents 3.22 billion people or 40% of world’s population, and almost 24% of the world’s GDP. In 2013 after a successful visit to Russia from 22 to 24 March President Xi visited the Fifth BRICS Summit in Durban from 26 to 27 March 2013. The Fifth BRICS summit was also attended by President Vladimir Putin of Russia and, President Dilma Rousseff of Brazil, President Narendra Modi of India, and the host President Jacob Zuma of South Africa.

At the Fifth BRICS Summit in South Africa both President Xi and President Putin made significant statements that presaged their recent meeting in Moscow on 20 and 21 March 2023. In March 2013 President Xi said China should “actively participate in the reform and construction of the global governance system” and promote “global security initiatives” that will add “positive energy to world peace and development”. Later at the BRICS Summit in Durban President Putin said ‘The medium and long-term strategy, …, is to consolidate the BRICS group as key part of the global governance system in the political, legal, financial, and economic spheres. Both leaders emphasised the need to address the challenges facing the existing global governance system. While President Putin was specific about the concerns related to the political, legal, financial, and economic spheres, President Xi urged BRICS countries to actively participate in the reform of the global governance system to promote global security. BRICS countries are inextricably linked to their regional counterparts in Eurasia, Asia, Africa, and Latin America. President Xi raised this issue very succinctly in his March 2013 visit to Russia. He underscored the fact China and Russia are each other’s largest neighbours, and both are major emerging markets, and that both China and Russia are important powers that safeguard world peace, security, and stability.          

In 2013 President Xi underscored the fact that China and Russia were both at a critical stage of development and rejuvenation with their populations having higher expectations on developing Sino-Russian relations and strengthening cooperation in various fields. He elaborated that in a world that was undergoing profound and complex changes, China and Russia had to bear greater responsibility for the lofty cause of human peace and development. In this context he emphasised that developing China-Russia relations would be a priority of China's foreign policy. During the 2013 visit President Xi expressed the belief that his visit would inject a new strong momentum into China-Russia partnership.  (2013-03-22 14:44 The Commissioner's Office of China's Foreign Ministry in the Hong Kong)

Given the background of China and Russia’s role in the BRICS, and China’s long-standing history and relationship with Russia that goes back to the founding of the PRC and subsequent partnerships it is difficult to understand the unease that accompanied President Xi Jingping’s visit to Russia from the 20 to 23 March 2023. The visit was the precursor to President Putin’s invitation to President Xi during the last Winter Olympic Games in Beijing. Of course several new developments have emerged and continue to bedevil international relations since the Beijing Winter Olympics.

President Xi Jingping was recently endorsed for a third term as China’s head of state at the two sessions of two consultative sessions of the National People’s Congress (NPC) and the Chinese People’s Political Consultative Conference (CPPCC) held from March 5 to 13, 2023.  

Following his election at the NPC, President Xi Jinping paid a state visit to Russia from March 20 to 22, 2023. Whereas in 2013 the international relations environment was relatively stable and with the global socio-economic climate looking relatively secure. The new groupings of the BRICS, SCO and, the Eurasian Cooperation Organization seemed to have good prospects for a brighter future with the establishment of the BRICS New Development Bank (NDB) and the Asian Infrastructure Investment Bank (AIIB) and, China’s launch of the One Belt One Road and Silk Road Initiatives. These developments promised socio-economic opportunities for emerging African, Asian, Eurasian and Latin American countries coming out of colonialism and underdevelopment. However, the quiet of 2013 was soon destabilized by the disturbances in Ukraine and subsequent fighting on the borders with Russia. By February 2022 the disturbances in Ukraine escalated into a full scale Russian military operation that has led to major global upheavals in international relations pitting the USA, Western Europe, NATO and the UK against Russia and some of its Allies. In the United Nations(UN) this division was reflected in a vote that saw all the BRICS countries, and many members of the SCO, Eurasian, and African countries abstain from condemning, and refusing to impose sanctions against Russia. Against this background, and despite pressure from the USA, Western Europe and the UK, President Xi Jingping made his visit to Russia.

Summarizing the visit, State Councillor and China’s new Foreign Minister Qin Gang briefed the accompanying press crew on the visit, and said “following the successful conclusion of the ‘two sessions’, President Xi Jinping’s state visit to Russia, raised a new curtain on China's head-of-state diplomacy for this year. The visit was an important decision made by the CPC Central Committee from the perspectives of the overall situation of national development and the general picture of diplomatic strategies and it showcased China's resolute commitment to an independent foreign policy of peace and an open mind to promote world peace.”

In the meantime President’s Xi’s visit was met with general disquiet and unease from many quarters despite China’s efforts to promote an effort of peace and ceasefire between Russia Ukraine. In China and in the BRICS and developing countries the visit was welcomed positively and is seen as having important implications for China as a peace-builder that may introduce stability and promote a multipolar world with greater democracy in international relations.

In South Africa, the government has taken a firm position of neutrality in the Russia-Ukraine conflict. In fact South Africa recently hosted a joint naval exercise with Russia and China off the East Coast of South Africa. Despite pressure from certain quarters South Africa went ahead with the naval exercise. Sometime in 2023 it will be South Africa’s turn to host the BRICS Summit. All heads of state of the BRICS countries, including President Xi Jingping and President Vladimir Putin, are expected to attend. Despite the International Criminal Court’s (ICC) warrant of arrest for President Putin, the South African Foreign Ministry has made it absolutely clear that all heads of state will be welcome to the BRICS Summit. South Africa has a reputation of not jeopardising its international relations with its International partners.

As a member of the BRICS group South Africa was not only the author of the BRICS Long Term Strategy that was adopted by the 2014 BRICS Summit in Forteleza, Brazil, it is also firmly committed to the implementation of the strategy. In his visit to Russia from 20 to 23 March 2023 President Xi also showed that China is a firm believer in the strategy. In his summary of President Xi’s  visit China’s new Foreign Minister underlined the three main principles of the President Xi’s visit in promoting a multipolar world and international democracy. He highlighted China’s commitment to independence and the defence of international fairness and justice. In this regard he indicated that during his first visit to Russia in 2013 President he talked about building a community with shared future for mankind. The second principle that Foreign Minster talked about was China’s resolve to staying committed to good neighbourliness, and drawing a blueprint for China-Russia relations. The third principle that Foreign Minister Qin Gang mentioned was China’s ability to stay committed to promoting peace through talks, demonstrating the country’s responsibilities as a major country. This commitment was demonstrated by China’s ability to bring Saudi Arabia and Iran to the negotiation table after many years of tensions, and President Xi’s efforts to get Russia and Ukraine to negotiate a peace settlement.

All the principles outlined by Foreign Minister Qin Gang were in the spirit of the 2014 BRICS Long Term Strategy authored by South Africa and supported by the BRICS heads of State. The BRICS countries have played important roles in their respective regions. South Africa can be proud that it played an important role in bringing about a peace settlement in Ethiopia, and refusing to be bullied into taking sides in the Ukraine-Russia conflict.  

References

A Journey of Friendship, Cooperation and Peace that Attracts Worldwide Attention——State Councillor and Foreign Minister Qin Gang on President Xi Jinping's State Visit to Russia, 2023-03-22 23:30 Ministry of Foreign Affairs, People’s republic of China