We will vigorously implement the strategy of sustainable development and successfully carry out all work related to population, natural resources and the environment in line with the need to balance development of man and nature. We will keep the birthrate low and improve the health of newborns. We will improve the infrastructure and service system for family planning at the primary level and strengthen the management of family planning among the floating population. Work related to senior citizens should be carefully conducted. We will implement the national plans for ecological and environmental protection and conservation conscientiously and implement a strategy for developing forestry focused on ecological conservation. We will intensify law enforcement to strengthen ecological and environmental control and monitoring. We will strictly control the discharge of major pollutants and work hard to eliminate environmental pollution that seriously threatens people's health and safety. We will energetically promote the recycling industry and clean production. We will protect our land and resources in accordance with the law and utilize them rationally. We will pay close attention to the development and protection of marine resources. We will better conserve our water resources and use them more economically. We will do a good job of disaster prevention and reduction.
积极实施可持续发展战略，按照统筹人与自然和谐发展的要求，做好人口、资源、环境工作。稳定低生育水平，提高出生人口素质。完善基层计划生育基础设施和服务体系，切实加强流动人口计划生育管理。做好老龄人口工作。认真实施全国生态环境保护和建设规划，实施以生态建设为主的林业发展战略。加大执法力度，强化生态环境监管，严格控制主要污染物排放，抓紧解决严重威胁人民群众健康安全的环境污染问题。大力发展循环经济，推行清洁生产。依法保护与合理利用国土资源。重视海洋资源开发与保护。加强水资源保护和节约利用。做好防灾减灾工作。
 
5.Accelerating the development of health, culture and sports and promoting spiritual civilization
（五）加快卫生文化体育事业发展，加强精神文明建设
 
We have three priorities in the area of health this year. The first is to strengthen the public health system. We will try to establish within three years a fully functioning system for disease prevention and control and for emergency medical aid that covers both urban and rural areas in order to increase our ability to deal with serious epidemic diseases and other public health emergencies. We need to maintain a high degree of vigilance and take firm and effective measures to control SARS, AIDS, schistosomiasis and other serious communicable diseases. The second priority is to improve medical and sanitation conditions in rural areas and carry out pilot projects on a new type of rural cooperative medical care system. We need to focus our medical and health efforts on rural areas, upgrade the medical and sanitation infrastructure and train more medical and sanitation personnel there to gradually alleviate the shortage of medical services and medicines there. We will press ahead steadily with the pilot projects for a new type of system for rural cooperative medical care and health services based on the actual conditions in different regions. Our objective is to establish a rural medical care system organized and guided by the government, based on mutual assistance of the participants, and with voluntary participation of local people and diverse sources of funding from individuals, collectives and the government, one which takes treatment of serious diseases as its main responsibility and ensures that the rural population benefits from it. The third priority is to vigorously promote the trial reform of the urban medical care and health service system. We will continue to reform the basic medical insurance system for urban working people, the medical care and health service system and the pharmaceutical production and distribution system. Medical institutions should be managed according to their type in order to ensure rational distribution and efficient utilization of the available health care resources. Community-based health care should be developed and medical and health services should be improved. At the same time, an extensive patriotic sanitation campaign should be carried out in both urban and rural areas.
发展卫生事业，今年重点抓好三件事。一是加强公共卫生体系建设。力争用三年时间，基本建成覆盖城乡、功能完善的疾病预防控制和医疗救治体系，提高应对重大传染病等突发公共卫生事件的能力。要高度重视并采取坚决有力措施，做好非典型肺炎、艾滋病、血吸虫病等重大传染病的防治工作。二是改善农村医疗卫生条件，做好新型农村合作医疗制度试点工作。要切实把医疗卫生工作的重点放在农村，加强农村医疗卫生基础设施和农村卫生队伍建设，逐步改善农村缺医少药的状况。要从各地实际出发，积极稳妥地推进新型农村合作医疗制度试点，逐步建立由政府组织和引导，农民自愿参加，个人、集体和政府多方筹资，以大病统筹为主的农民医疗互助共济制度，确保农民群众受益。三是积极推进城镇医疗卫生体制改革试点。继续改革城镇职工基本医疗保险制度、医疗卫生和药品生产流通体制。实行医疗机构分类管理，合理配置和有效使用卫生资源，发展社区卫生事业，改进医疗卫生服务。同时，在城乡广泛开展爱国卫生运动。
 
The people's intellectual and cultural needs are constantly increasing along with the economic development and social progress in China, so we must attach greater importance to cultural development. It is necessary to energetically develop an advanced socialist culture. We will vigorously promote national spirit centered on patriotism and intensify the ideological and moral education of young people in particular. We must encourage the general public to participate in activities designed to promote spiritual civilization. We will strengthen basic-level cultural development in rural areas, urban communities and enterprises. We will spread scientific knowledge and promote a scientific spirit, a scientific and healthy lifestyle and good manners. We must further develop literature, art, the press, publishing, radio, film and television. We will follow a strategy of product excellence to provide more healthful, inspiring cultural works that people can enjoy. We will press ahead with formulating an overall plan f or cultural restructuring and a program for cultural development. We should promote the reform of the system and innovation of the mechanisms of the cultural industry, give more support to non-profit cultural undertakings and improve our policy for the cultural industry to give a greater role to the market and ensure the simultaneous development of cultural undertakings and the cultural industry. We should do more to protect our cultural relics and archives as well as our natural and cultural heritage. We will continue to strengthen the development and management of the market for cultural products and the Internet, fight unremittingly against pornographic and illegal publications and actively conduct cultural exchanges with other countries. We will carry out extensive mass fitness programs and strive to raise the standards of our competitive sports. We will continue to work hard to prepare for the 2008 Olympic Games in Beijing and the 2010 World Exposition in Shanghai.
随着我国经济发展和社会进步，人民群众的精神文化需求不断增长，必须把文化建设摆到更加重要的位置。要大力发展社会主义先进文化。弘扬以爱国主义精神为核心的民族精神，特别要加强对青少年的思想道德教育。积极开展群众性精神文明创建活动。加强农村、社区和企业等基层文化建设。普及科学知识，弘扬科学精神。倡导科学、健康、文明的生活方式。进一步发展文学艺术、新闻出版和广播影视业，实施精品战略，提供更多健康向上、人民群众喜闻乐见的精神文化产品。抓紧制定文化体制改革总体方案和文化发展纲要。积极推动文化体制改革和机制创新，加大对公益性文化事业扶持力度，完善文化产业政策，发挥市场机制作用，促进文化事业和文化产业共同发展。搞好文物、档案工作和自然、文化遗产保护工作。继续加强文化市场和互联网的建设与管理，坚持不懈地进行“扫黄”“打非”斗争。积极扩大对外文化交流。广泛开展全民健身运动，努力提高竞技体育水平。继续做好2008年北京奥运会和2010年上海世界博览会的准备工作。
 
6. Seizing the opportune moment and deepening economic restructuring
（六）抓住有利时机，深化经济体制改革
 
We will systematically carry forward reforms this year, focusing on certain areas in accordance with the decision adopted at the Third Plenary Session of the Sixteenth CPC Central Committee and strive to make fresh progress in some important areas.
今年，要按照党的十六届三中全会决定的部署，有重点有步骤地推进改革，力求在一些重要方面取得新进展。
 
We will deepen the reforms of the state asset management system and state-owned enterprises. We need to promptly improve legislation pertaining to oversight and management of state assets and methods for its implementation, conduct research to establish a budgetary system for state capital management and a performance evaluation mechanism for enterprises, and make sure that the responsibilities for state asset management are truly met. We should energetically work to transform state-owned enterprises into standard stock companies, optimize the structure of property ownership, improve corporate governance and encourage enterprises to change how they operate. We will vigorously develop a mixed ownership economy and gradually make the shareholding system the principal form of public ownership. We will press ahead with the reform and reorganization of the telecommunications, electricity and civil aviation industries, make steady progress in the reform of the postal service and railway transport, and encourage the commercialization of urban public utilities. A number of large, competitive companies or conglomerates that own proprietary intellectual property rights and name brands should emerge through reform and development. We will continue to reform collectively owned enterprises and develop diverse forms of the collective economy.
深化国有资产管理体制和国有企业改革。抓紧完善国有资产监督管理相关法规和实施办法，研究建立国有资本经营预算制度和企业经营业绩考核体系，进一步落实国有资产经营责任。积极推进国有企业规范的股份制改造，完善产权结构和法人治理结构，推动企业经营机制转换。大力发展混合所有制经济，逐步使股份制成为公有制的主要实现形式。继续做好电信、电力、民航等行业的改革重组工作，稳步推进邮政、铁路行业改革。推进市政公用事业的市场化进程。通过改革和发展，形成一批核心竞争力强、拥有自主知识产权和知名品牌的大公司大企业集团。继续推进集体企业改革，发展多种形式的集体经济。
 
We will vigorously promote the development of the non-public sector of the economy and actively guide it. Governments at all levels must promptly eliminate or revise regulations and policies that restrict the development of this sector and implement measures that relax market access. We will conduct further studies and formulate specific methods to encourage non-public enterprises to participate in the reorganization of state-owned enterprises and expand into infrastructure development, public utilities and other industries and domains. We will take measures to ensure that non-public enterprises receive the same treatment as other enterprises in investment, financing, taxation, land use and foreign trade. We will protect their legitimate rights and interests and improve government service to and oversight over them, so as to support and encourage qualified non-public enterprises in their efforts to grow stronger and larger. We will speed up the establishment of a modern system of ownership.
大力发展和积极引导非公有制经济。各级政府要抓紧清理和修订限制非公有制经济发展的法规和政策，落实放宽市场准入的措施。进一步研究制定鼓励非公有制企业参与国有企业改组改造，进入基础设施、公用事业及其他行业和领域的具体办法。在投融资、税收、土地使用和对外贸易等方面，采取措施保障非公有制企业与其他企业享受同等待遇。保护非公有制企业的合法权益，改进服务和监管，支持和鼓励有条件的企业做强做大。加快推进现代产权制度建设。
 
We will carry forward the reform of the financial system. We need to accelerate the reform of the wholly state-owned commercial banks, focusing on a pilot project to transform the Bank of China and China Construction Bank into stock enterprises. Other commercial and policy banks must also deepen their reform. We will press ahead with the trial reform of rural credit cooperatives and, on the basis of a review of that experience, gradually expand the reform to a wider area. We will continue to reform and open up the capital market and develop it steadily. We will allow the amount of bonds issued by enterprises to increase and the proportion of direct financing by enterprises to rise gradually. We will continue reforming the insurance industry and expand the insurance market. We need to improve the regulatory systems for banking, securities and insurance, coordinate these systems better, and tighten financial control to ensure sound operation of the financial sector.
推进金融体制改革。要加快国有独资商业银行改革，重点做好中国银行和中国建设银行股份制改造试点工作。其他商业银行和政策性银行也要深化改革。继续搞好农村信用社改革试点，总结经验，逐步扩大范围。推进资本市场改革开放和稳定发展，扩大企业债券发行规模，逐步提高企业直接融资比重。继续推进保险业改革，大力发展保险市场。完善银行、证券、保险监管体制，加强相互配合，强化金融监管，维护金融稳健运行。
 
We will carry forward the reform of the fiscal and taxation systems. We will focus on gradually shifting from a "production VAT" to a "consumption VAT" by reclassifying equipment investment as VAT-deductible to facilitate the technological upgrading of enterprises and enhance their capability for self-development. These reform measures will be tried out first in some industries in northeast China this year. Supporting measures must be formulated quickly so that we can carry out the plan for reforming the export tax rebate system in earnest.
推进财税体制改革。重点是逐步推行增值税由生产型改为消费型，将设备投资纳入增值税抵扣范围，促进企业技术进步，提高自主发展能力。今年在东北地区部分行业先行试点。抓紧制定配套措施，认真落实出口退税机制改革方案。
 
We will carry forward the reform of the investment system. Our main objectives are to reform the system of government oversight of enterprise investment and allow enterprises greater independence in making investment decisions in line with the principle that "the investor makes the investment decisions, reaps the profits and bears the risks." Another objective is to rationally define the government's investment functions, improve the management of government investment and establish an accountability mechanism for government investment. Finally, we want to establish a macro-control mechanism for investment and improve control methods and measures. These efforts will result in a new investment system under which investment is guided by the market, enterprises make their own investment decisions, banks examine credit worthiness independently, various forms of financing coexist, intermediary services are standardized and macro-control is efficient.
推进投资体制改革。主要目标是：改革政府对企业投资的管理制度，按照“谁投资、谁决策、谁收益、谁承担风险”的原则，扩大和落实企业投资自主权；合理界定政府投资职能，加强政府投资管理，建立政府投资责任追究制度；健全投资宏观调控体系，改进调控方式，完善调控手段。经过努力，最终建立起市场引导投资、企业自主决策、银行独立审贷、融资方式多样、中介服务规范、宏观调控有效的新型投资体制。
 
We need to quickly establish a system to ensure credibility in society. We need to make intensive efforts to put in place a system for collecting information on the credibility of enterprises and individuals, a system for overseeing the credit market, and a mechanism for penalizing those who lose their credibility. We should intensify our efforts to rectify and standardize the market order, giving priority to cleaning up markets that have a direct bearing on people's health and lives such as those for food and medicine. Producing and marketing counterfeit and shoddy goods, pyramid schemes and commercial fraud must be severely punished. Intellectual property rights must be protected more effectively and piracy and patent infringement must be punished in accordance with the law. We must severely crack down on tax evasion, tax fraud, money laundering, smuggling and other illegal and criminal activities.
加快社会信用体系建设。抓紧建立企业和个人信用信息征集体系、信用市场监督管理体系和失信惩戒制度。加大整顿和规范市场秩序的力度，重点是继续抓好直接关系人民群众身体健康和生命安全的食品、药品等方面的专项整治。严厉打击制售假冒伪劣产品、非法传销和商业欺诈行为。加大知识产权保护力度，依法惩处盗版侵权行为。严厉打击偷逃骗税、洗钱和走私等违法犯罪活动。
 
7. Adapting to the new situation and opening still wider to the outside world