Balancing investment and consumption is an important aspect of this year's work for macro-control. Consumption occupies too small a proportion of China's GDP. This is not conducive to ensuring a stable increase in domestic demand, sustaining rapid economic growth and establishing a beneficial economic cycle. We must work hard to increase the incomes of both urban and rural residents and raise their purchasing power. Regulation of income distribution will be intensified to enable low- and middle-income people to consume more. Consumption on credit must be expanded, consumption policies must be optimized and the consumption climate must be improved. To adapt to changes in consumption patterns, we need to expand the consumption of services and improve the production and supply structure. The reform measures we take should enhance consumer confidence, so as to create positive consumer expectations and increase immediate consumption. We should gradually reduce the rate of investment in relation to the rate of consumption.
合理调整投资与消费的关系，是今年宏观调控的重要方面。我国消费在国内生产总值中的比重偏低，不利于国内需求的稳定扩大，不利于国民经济持续较快增长和良性循环。要努力增加城乡居民收入，提高居民购买力水平；加大收入分配调节力度，提高中低收入居民的消费能力；发展消费信贷，完善消费政策，改善消费环境；适应消费结构的变化，扩大服务消费领域，改善生产供给结构；各项改革措施要有利于增强消费者信心，形成良好的消费预期，增加即期消费。要通过不断努力，逐步改变投资率偏高、消费率偏低的状况。
 
2. Consolidating and strengthening the position of agriculture as the foundation of the national economy and increasing rural incomes and agricultural production
（二）巩固和加强农业基础地位，实现农民增收和农业增产
 
Solving problems facing agriculture, rural areas and farmers is a top priority in all our work. Once again, China's agriculture is in a crucial period of its development. This year we must take more direct and effective policies and measures to strengthen, support and protect agriculture and increase rural incomes in line with the need to balance urban and rural development.
解决农业、农村和农民问题，是我们全部工作的重中之重。当前，我国农业发展又处在一个关键时期。今年要按照统筹城乡发展的要求，采取更直接、更有力的政策措施，加强农业，支持农业，保护农业，努力增加农民收入。
 
First, the overall grain production capability must be maintained and increased. The strictest possible system for protecting farmland will be implemented and control over the use of farmland will be strengthened in accordance with the law. We will resolutely put an end to illegal acquisition and use of farmland and rectify unauthorized changes in the use of primary farmland. Reform of the system for land expropriation and requisition will be accelerated, and the expropriation and requisition procedures and mechanisms for compensation will be improved to ensure that the compensation for expropriated or requisitioned land is appropriate. The acreage sown in grain crops will be expanded, and the yield per unit area increased. Support will be focused on increasing production in major grain producing areas. Projects to industrialize production of high-quality grains will be undertaken. We will make primary farmland capable of producing stable, high yields.
第一，保护和提高粮食综合生产能力。实行最严格的耕地保护制度，依法加强耕地管理，坚决制止乱占滥用耕地，纠正随意改变基本农田用途的现象。加快改革土地征收、征用制度，完善土地征收、征用程序和补偿机制，确保占补平衡。扩大粮食播种面积，努力提高单产。重点支持主产区发展粮食生产，启动优质粮食产业工程，建设稳产高产基本农田。
 
Second, we will promote strategic restructuring of agriculture and the rural economy. Great efforts will be made to develop high- quality, high-yield, cost-effective, eco-friendly and safe agriculture, to improve the quality of agricultural products and enhance their competitiveness. We will carry forward the development of industrial belts for producing competitive agricultural products and promote the industrialization of agriculture. We will energetically develop animal husbandry and prevent and control the spread of the highly pathogenic bird flu and other animal epidemics. We will encourage the development of industries that process agricultural products and other non- agricultural industries in rural areas and expand intra-county economies. We will steadily carry out the process of urbanization. We will improve the employment environment for rural workers in cities, provide them with more and better training and create more jobs for them in various ways.
第二，推进农业和农村经济结构战略性调整。大力发展优质、高产、高效、生态、安全农业，提高农产品质量和竞争力。推进优势农产品产业带建设，促进农业产业化经营。积极发展畜牧业，切实做好高致病性禽流感等动物疫病的防治工作。发展农产品加工业等农村非农产业，壮大县域经济。稳步推进城镇化，改善农民进城就业环境，加强农民工培训，多渠道扩大农村劳动力转移就业。
 
Third, we will press ahead with the reform of rural taxes and administrative charges. All taxes on special agricultural products will be repealed except for tobacco, thus reducing the financial burden on farmers by 4.8 billion yuan annually. Beginning this year, the agricultural tax rate will be reduced by more than 1 percentage point per year on average, and agricultural taxes will be rescinded in five years. The agricultural tax burden on farmers will be reduced by 7 billion yuan this year. The central government will appropriate 39.6 billion yuan this year from its budget for transfer payments to support the reform of rural taxes and administrative charges. We will accelerate reforms of county and township government institutions.
第三，继续推进农村税费改革。除烟叶外，取消农业特产税，每年可使农民减轻负担48亿元。从今年起，逐步降低农业税税率，平均每年降低1个百分点以上，五年内取消农业税。今年农业税率降低可使农民减轻负担70亿元。为支持农村税费改革，今年中央财政拿出396亿元用于转移支付。加快推进县乡机构等配套改革。
 
Fourth, we will deepen the reform of the grain distribution system. All controls over grain purchase and sales markets will be lifted. The reform of state-owned grain enterprises will be accelerated. Control and regulation of grain markets will be strengthened, and subsidies will be given directly to grain producers. The state will appropriate 10 billion yuan this year from its grain risk fund to directly subsidize these producers in order to stimulate their enthusiasm for grain production. The prices of the means of agricultural production will be better monitored and controlled to protect farmers' interests.
第四，深化粮食流通体制改革。全面放开粮食购销市场，加快国有粮食企业改革，加强粮食市场管理和调控，对种粮农民实行直接补贴。今年国家从粮食风险基金中拿出100亿元，直接补贴种粮农民，以调动农民种粮的积极性。加强农业生产资料价格监管，保护农民利益。
 
Fifth, we will increase investment in agriculture and rural areas. Governments at all levels must invest more in agriculture, rural areas and farmers. This year, the central government will appropriate over 30 billion yuan for this purpose, at least 20% more than last year. Treasury bond funds should be invested mainly in the construction of six categories of small projects for rural areas (water-efficient irrigation, potable water supplies, roads, methane production facilities, hydroelectric plants and pasture enclosure) and in construction of water control projects, in order to improve the living and production conditions of farmers. We will continue to aid the rural poor through development by increasing funding for poverty alleviation in various ways and giving people work in place of relief subsidies. Rural financial services will be improved. To assist rural residents expand production, rural credit cooperatives will extend more micro- credit loans to individual families and groups in rural areas.
第五，加大对农业和农村投入力度。各级政府都要增加对“三农”的投入。今年中央财政投入增加300亿元以上，比上年增长20％以上。国债投资重点加强农村“六小工程”和农田水利建设，改善农民生产生活条件。继续搞好农村扶贫开发，多渠道增加扶贫资金投入，扩大以工代赈规模。改进农村金融服务，农村信用社要增加农户小额信用贷款和农户联保贷款，支持农民发展生产。
 
Sixth, progress in agro-science will be accelerated. We will tackle agro-science problems with greater intensity and increase our ability to make advances in agro-science and hold them in reserve and find applications for them. We will strengthen the system for spreading the application of science and technology in rural areas. We will energetically promote wider application of advanced applied technology that can help increase production and improve productivity. We will expand both the size and scope of subsidies for developing seeds of high-quality crop varieties.
第六，加快农业科技进步。加强农业科研攻关，增强农业科技创新、储备和转化能力。加强农村科技推广体系建设，大力推广增产增效的先进适用技术，扩大农作物良种补贴范围和规模。
 
3.Coordinating economic development in different regions and promoting the development of the western region and the revitalization of northeast China and other old industrial bases
（三）统筹区域协调发展，推进西部大开发和东北地区等老工业基地振兴
 
Promoting the coordinated development of all regions is of strategic importance to China's modernization drive. We need to steadfastly push forward with the development of the western region, revitalize northeast China and other old industrial bases, promote the development of the central region and encourage faster development in the eastern region so that the eastern, central and western regions can better interact, complement and support each other, and develop together.
促进区域协调发展，是我国现代化建设中的一个重大战略问题。要坚持推进西部大开发，振兴东北地区等老工业基地，促进中部地区崛起，鼓励东部地区加快发展，形成东中西互动、优势互补、相互促进、共同发展的新格局。
 
We will continue to implement the strategy of developing the western region. On the basis of a conscientious review of our experience, we will improve our policies and carry out relevant measures to ensure positive and orderly progress. We will work in a down-to-earth manner to ensure successful implementation of such key ecological conservation projects as returning farmland to forests and animal breeding grounds to pastures, protecting natural forests, bringing sources of sandstorms under effective control and preventing karst areas from becoming stony deserts. We will strengthen infrastructure development efforts, emphasizing major projects of key importance to the overall economy to increase the potential for economic development. At the same time, we will continue to pay adequate attention to the construction of smaller projects that will improve the living and production conditions of farmers and herdsmen. Social undertakings will be promoted, with priority given to compulsory education, public health and primary-level cultural undertakings. We will encourage the development of economies with local characteristics and competitive industries and promote the development of key regions.
继续实施西部大开发战略，认真总结经验，完善政策，落实各项措施，积极有序地推进。扎实搞好退耕还林、退牧还草、天然林保护、风沙源和石漠化治理等重点生态工程；加强基础设施建设，重点抓好关系全局的重大项目，不断增强经济发展后劲，继续抓好改善农牧民生产生活条件的小型工程建设；以义务教育、公共卫生和基层文化建设为重点，促进社会事业发展；积极发展特色经济和优势产业，推进重点区域和地带开发。
 
We will conscientiously implement the strategy for revitalizing northeast China and other old industrial bases, working to get off to a good start this year. We must carry out all the policies and measures of the central authorities, emphasizing innovation in institutions and mechanisms and opening wider both domestically and internationally. We need to accelerate economic restructuring and technological progress, especially for key industries and enterprises, transform the resource-based economies of certain cities, and solve the problem of sinking land and cave-ins above exhausted mines in coalmining areas. We must uphold the principles of self-reliance and hard work and let cadres and the general public give full expression to their initiative and creativeness.
认真实施东北地区等老工业基地振兴战略，今年要有一个良好的开端。落实中央的各项政策措施，突出体制机制创新，扩大对内对外开放。加快经济结构调整和技术进步，着力抓好重点行业、重点企业的调整改造，做好资源型城市经济转型和采煤沉陷区治理工作。要坚持自力更生，艰苦创业，充分发挥广大干部群众的进取精神和创造精神。
 
Accelerating the development of the central region is an important aspect of our endeavor to ensure well-balanced development of regional economies. The state is encouraging the central region to exploit its geographical and economic advantages to quicken the pace of its reform, opening up and development, modernize its agriculture, and build key areas for commercial grain production, strengthen its infrastructure development, expand its competitive manufacturing and new and high technology industries, and raise its levels of industrialization and urbanization.
加快中部地区发展是区域协调发展的重要方面。国家支持中部地区发挥区位优势和经济优势，加快改革开放和发展步伐，加强现代农业和重要商品粮基地建设，加强基础设施建设，发展有竞争力的制造业和高新技术产业，提高工业化和城镇化水平。
 
Accelerating development of the eastern region will strengthen the country financially, materially, scientifically and technologically, thereby providing more support for the development of the central and western regions. The eastern region should continue making the most of its advantages, speed up efforts to upgrade its industrial structure and make its economy more oriented to the global market; areas where conditions are most favorable should take the lead in becoming basically modern. The eastern, central and western regions should increase cooperation in various ways and gradually achieve common prosperity through balanced development. The government will continue to take measures to help old revolutionary base areas develop more quickly.
东部地区加快发展，有利于增强国家财力、物力和科技实力，更好地支持中西部地区发展。要继续发挥优势，加快产业结构升级，进一步发展外向型经济，有条件的地方要率先基本实现现代化。东、中、西部地区要加强多种形式的合作，在协调发展中逐步实现共同富裕。国家继续采取措施，支持革命老区加快发展。
 
4.Continuing to implement the strategy of invigorating China through science and education and staying on the road of sustainable development
（四）继续实施科教兴国战略，坚持走可持续发展之路
 
In the course of development, we will steadfastly give priority to education and devote more energy and financial resources to accelerating its development. We will adopt a fresh round of measures to implement the Action Plan for Reinvigorating Education, with the focus on compulsory education, particularly in rural areas. This year we will begin to implement the plan to make nine- year compulsory education basically available throughout the western region and basically eliminate illiteracy among the adults there by 2007. The central government will spend 10 billion yuan on this work. The system for managing compulsory education in rural areas must be improved by shifting the main responsibility to county governments and increasing transfer payments from central, provincial and city (prefectural) governments for compulsory education in poverty-stricken counties. The central government will contribute 6 billion yuan to carrying out the second phase of the plan for renovating dangerous primary and secondary school buildings in rural areas. Both central and local governments will increase their investment to develop modern distance education in rural primary and secondary schools. We will work to optimize the education structure, take energetic and steady steps to develop higher education, and put more effort into developing vocational education and continuing education. Schools of all kinds and at all levels should fully implement the Party's education policy, emphasize competence-oriented education, deepen the reform of education and improve its quality. We will standardize and develop non-government funded education. Unauthorized collection of fees by educational institutions must be resolutely stopped to reduce the financial burden on students' families.
切实把教育放在优先发展的地位，用更大的精力、更多的财力加快教育事业发展。实施新一轮《教育振兴行动计划》，重点加强义务教育特别是农村教育。今年要启动西部地区“两基”攻坚计划，到2007年使西部地区基本普及九年义务教育，基本扫除青壮年文盲，中央财政将为此投入100亿元。要完善农村义务教育“以县为主”的管理体制，中央财政和省、市（地）财政要增加对贫困县义务教育的转移支付。继续实施第二期农村中小学危房改造，中央财政将投入60亿元。中央财政和地方财政还将加大投入，发展农村中小学现代远程教育。优化教育结构，积极稳步发展高等教育，大力发展职业教育和继续教育。各级各类学校都要全面贯彻党的教育方针，加强素质教育，深化教育改革，提高教育质量。规范和发展民办教育。坚决治理教育乱收费，切实减轻学生家庭负担。
 
This year, we will continue to concentrate on formulating a medium- and long-range state plan for developing science and technology in order to define the strategy, objectives, tasks and policies in this field for the coming 15 years. Institutional reform and innovation in the field of science and technology should be continued. We will accelerate the establishment of a national innovation system and construction of the science and technology infrastructure, and effectively strengthen basic research. We will carry out a number of projects of major importance for overall economic and social development, promote the integration of science and technology with industry and encourage the application of new and high technologies in industrial production. We consider social and natural sciences equally important and will make full use of the important role of philosophy and social sciences in economic and social development.
今年，要继续集中力量完成国家中长期科学和技术发展规划的编制，确定未来15年我国科技发展战略、目标、任务和政策。要推进科技体制改革和机制创新。加快国家创新体系和科技基础设施建设，切实加强基础研究。组织实施一批关系经济社会发展全局的重大科技项目，促进科学技术与产业结合，推动高新技术产业化。坚持社会科学和自然科学并重，充分发挥哲学社会科学在经济和社会发展中的重要作用。
 
We should conscientiously implement the strategy of reinvigorating China through human resource development. Training, recruiting and properly using talented people in all fields should provide substantial personnel and intellectual support for the modernization drive.
认真实施人才强国战略。大力培养、积极引进、合理使用各类人才，为现代化建设提供坚强的人才保证和智力支持。