Premier Li Keqiang chaired an executive meeting on Dec 2, discussing issues of financial reform and opening-up after the inclusion of the renminbi in the International Monetary Fund (IMF)’s special drawing rights basket, trials of financial reforms in several regions, lowering emissions of coal-fueled power plants and the amendment of the family planning law.
The meeting noted that the IMF’s decision to include the Chinese currency is an opportunity for further financial reform and opening-up, and China will maintain the renminbi exchange rate at a stable level with proper management of the floating exchange rate system, in an effort to achieve the renminbi’s capital account convertibility
To improve financial support for the real economy, the meeting decided to carry out trials of financial reforms in several regions. A pilot zone focusing on tackling financing problems for small and micro businesses will be set up in Taizhou, Zhejiang province. Trials of comprehensive financial reform in rural areas of Jilin province will be carried out to promote rural financing development. Trials will also be carried out in pilot zones of Guangdong, Tianjin, and Fujian for further cooperation between Guangdong, Hong Kong and Macao, development of financing lease, and financial cooperation across the Taiwan Strait, respectively.
Trials on cross-border use of renminbi, capital account convertibility, and cross-border investment and financing will be carried out step by step, the meeting noted.
To prevent and control air pollution, the meeting passed a plan that aims at speeding up upgrade and transformation of coal-fueled power plants by promoting extremely low emission and world-class energy consumption standards across the nation.
According to the new standard, coal consumption per kilowatt hour of power plants that are in service should be lower than 310 grams while newly constructed power plants’ consumption should be below 300 grams.
Power plants that fail to meet the standards will be shut down and eastern and central regions should meet the standard by 2017 and 2018, respectively.
After upgrade and transformation, approximately 100 million tons of coal will be saved each year, reducing 180 million tons of carbon dioxide emissions and 60 percent of pollutant emissions of the power industry.
The meeting passed the draft of the amendment of the Population and Family Planning Law, which stipulates a comprehensive implementation of the two-child policy across the nation.
The meeting also passed a draft that authorizes the State Council to temporarily adjust the implementation of property law and guaranty law in Beijing’s Daxing district and Tianjin’s Jixian county.
Both drafts will be submitted to the Standing Committee of the National People’s Congress for deliberation.