Page 58 - 2020 White Paper on the Business Environment in China
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0 White Paper on the Business Environment in China
1.3 The Shenzhen Demonstration Area
- Showcasing China’s Formula for High-
quality Growth1
*Courtesy of EY
· Shenzhen received a new designation Shenzhen’s transformation will make it a
as a “demonstration area of socialism with champion in sustainable growth. This is a
Chinese characteristics” on 18 August 2019. unique pilot scheme for high-quality growth
With support from the Central Government, with Chinese characteristics.
multiple measures to promote economic,
political, cultural, social and environmental Demonstrating China’s Success
development are forthcoming. They will
strengthen the city’s role as a pioneer in high- Becoming a World-leading City by 2035
quality growth and turn it into one of the most
competitive cosmopolises in the world by 2035. On 18 August 2019, the Central Committee
of the Communist Party of China (CPC)
· To achieve this goal, we believe Shenzhen will and the State Council jointly issued a document2
leverage its existing strengths as a technology to recognize Shenzhen as a “demonstration area of
hub, a focal point in the Greater Bay Area and socialism with Chinese characteristics”. A significant
a portal in the Belt and Road Initiative. The notch above the city’s current designation as a Special
highlight, we believe, is that Shenzhen may enter Economic Zone (SEZ), this indicates that the Central
a new stage of productivity growth with access Government expects Shenzhen to replicate its
to 1) a more integrated market, 2) a bigger pool success beyond the realm of economic growth.
of talent, and 3) world-leading infrastructure.
While the document expresses high hopes
· Shenzhen is also tasked with a leading role on Shenzhen’s technological development and
in modernizing China’s economic structure. It business environment optimization, it also calls for
has important roles in key structural reforms the development of rule of law, civil society, social
on 1) state-owned enterprises, 2) business welfare and environmental sustainability to go hand-
environment improvement, and 3) financing in-hand with economic growth. It explicitly states
China’s real economic demand. Remarkable its expectation that Shenzhen will become one of
breakthroughs are already in the pipeline. the most developed cities in the world with strong
economic power and outstanding technological
· Uncertainty regarding China’s economic research and innovation capability by 2025, before
growth, partly due to the lingering dispute becoming one of the most competitive cosmopolises
with the US, may dampen the city’s growth
outlook in the near term. Structurally however,
1. Unless otherwise mentioned, the data are provided by Wind. Wind’s database is sourced from China’s statistical offices or state agencies,
such as the National Bureau of Statistics. Additional information was pulled from other credible sources, which are appropriately cited and
described at the “notes” space at the bottom of each page. This publication contains information in summary form and is therefore intended
for general guidance only. It is not intended to be a substitute for detailed research or the exercise of professional judgment. Member firms of
the global EY organization cannot accept responsibility for loss to any person relying on this article.
2. www.gov.cn/zhengce/2019-08/18/content_5422183.htm
58
1.3 The Shenzhen Demonstration Area
- Showcasing China’s Formula for High-
quality Growth1
*Courtesy of EY
· Shenzhen received a new designation Shenzhen’s transformation will make it a
as a “demonstration area of socialism with champion in sustainable growth. This is a
Chinese characteristics” on 18 August 2019. unique pilot scheme for high-quality growth
With support from the Central Government, with Chinese characteristics.
multiple measures to promote economic,
political, cultural, social and environmental Demonstrating China’s Success
development are forthcoming. They will
strengthen the city’s role as a pioneer in high- Becoming a World-leading City by 2035
quality growth and turn it into one of the most
competitive cosmopolises in the world by 2035. On 18 August 2019, the Central Committee
of the Communist Party of China (CPC)
· To achieve this goal, we believe Shenzhen will and the State Council jointly issued a document2
leverage its existing strengths as a technology to recognize Shenzhen as a “demonstration area of
hub, a focal point in the Greater Bay Area and socialism with Chinese characteristics”. A significant
a portal in the Belt and Road Initiative. The notch above the city’s current designation as a Special
highlight, we believe, is that Shenzhen may enter Economic Zone (SEZ), this indicates that the Central
a new stage of productivity growth with access Government expects Shenzhen to replicate its
to 1) a more integrated market, 2) a bigger pool success beyond the realm of economic growth.
of talent, and 3) world-leading infrastructure.
While the document expresses high hopes
· Shenzhen is also tasked with a leading role on Shenzhen’s technological development and
in modernizing China’s economic structure. It business environment optimization, it also calls for
has important roles in key structural reforms the development of rule of law, civil society, social
on 1) state-owned enterprises, 2) business welfare and environmental sustainability to go hand-
environment improvement, and 3) financing in-hand with economic growth. It explicitly states
China’s real economic demand. Remarkable its expectation that Shenzhen will become one of
breakthroughs are already in the pipeline. the most developed cities in the world with strong
economic power and outstanding technological
· Uncertainty regarding China’s economic research and innovation capability by 2025, before
growth, partly due to the lingering dispute becoming one of the most competitive cosmopolises
with the US, may dampen the city’s growth
outlook in the near term. Structurally however,
1. Unless otherwise mentioned, the data are provided by Wind. Wind’s database is sourced from China’s statistical offices or state agencies,
such as the National Bureau of Statistics. Additional information was pulled from other credible sources, which are appropriately cited and
described at the “notes” space at the bottom of each page. This publication contains information in summary form and is therefore intended
for general guidance only. It is not intended to be a substitute for detailed research or the exercise of professional judgment. Member firms of
the global EY organization cannot accept responsibility for loss to any person relying on this article.
2. www.gov.cn/zhengce/2019-08/18/content_5422183.htm
58
