China will expedite new infrastructure development in an effort to boost industrial and consumption upgrading, according to a State Council's executive meeting chaired by Premier Li Keqiang on Tuesday.
"Enhancing the new infrastructure development, including the information networks, is a proactive approach to boost effective investment. Online home office and tele-medicine enabled by information technology have played a big role in the virus response," Li said.
It was pointed out at the Tuesday meeting that accelerating the development of information networks and other new infrastructure catalyzes the growth of many other sectors. This initiative will contribute to industrial upgrade, foster new growth drivers, and create more jobs, thus meeting the current needs and serving the long-term interests.
Information networks and other new infrastructure should be promoted in light of development needs and the potential of relevant industries, as was urged at the meeting. New investment and development models will be applied whereby market-based investment will be the mainstay, the participation of diverse entities will be supported, and financial institutions will be encouraged to develop new products and step up services. The government will provide greater guidance and support, and offer more facilitation for such investment and development.
"New industries powered by information technology can significantly catalyze consumption and investment. Their growth will help meet the current needs and contribute to long term development," Li said.
Such construction efforts must focus on domestic needs and be application-oriented. The potential of China's enormous domestic market should be tapped and more application scenarios of new infrastructure should be actively explored. Relevant parties will be encouraged to jointly build the industrial internet. Given rising new demand for digital consumption, applications of online working, distance learning, telemedicine, vehicle networking and smart city technologies will be promoted.
"It is essential to unlock the potential of the market and bring out its role as much as possible. The government is not going to get itself involved every step of the way. Application is key to the development of the information networks, and the market plays a vital role in shaping application. With our market potential, it is important to stay market-oriented and focus on application, and to attract private investment in this process, to boost consumption and foster a virtuous circle. Such a process will sustain the driving force for our economy," Li said.
Two-way openness and cooperation between the telecommunications sector and other related sectors will be encouraged to eliminate barriers for cross-sector application in order to create an enabling environment for platform economy as well as the opening up and integration of sectors, and foster an eco-system where platforms and their participants achieve win-win outcomes.
"Expanding the market coverage brings benefits to people's lives and contributes to economic growth. This will also help nurture new drivers for sustainable development and create more jobs. It is a move that serves multiple purposes," Li said.
"We will stay committed to opening up and win-win cooperation for common development," Li said.