ADB President calls for inclusive economic development in China

"Toward Inclusive Economic Development in China" Speech by Haruhiko Kuroda, President, Asian Development Bank at the China Development Forum 2008, 23 March 2008, Beijing, PRC

Thirty years ago China was a poor and underdeveloped country, but nonetheless a country with relatively low levels of income inequality. The reforms that started 30 years ago were initially focused on rural development, which was successful in raising incomes and bringing benefits to rural areas, where the poor were most concentrated. This strategy worked well in cutting income inequality between the rural and urban areas. Since 1990, however, inequality has been on the rise - inequality between the coastal and inland areas, between urban and rural areas, and within the urban population.

The Chinese government recognized these problems in its 11th 5-Year Plan and has shifted the development strategy toward a more inclusive and socially sustainable path. Inclusive growth means efficient, sustainable growth that generates new productive opportunities, especially in lagging areas, and improves access to such opportunities. It requires a level-playing field economically and socially so that everyone can participate in, and benefit from, the new opportunities. And it requires stronger, more effective and efficient social protection systems -- such as health, education, and pension.

Full speech available at http://www.adb.org/Documents/Speeches/2008/ms2008015.asp