Opinion

'Inclusive growth' sparks high expectations

(China Daily)
Updated: 2010-10-01 09:58

President Hu Jintao's recent remarks on "inclusive growth" are sparking high expectations as a further sign that the Chinese leadership is refining its perspective on development. There could be no better message to add optimism to this National Day holiday.

For excited economists - particularly those who had roles in putting forward the idea - the fact that the concept has found its way into Chinese official lexicon is something to celebrate in itself. This is not a simple matter of a scholarly proposal being embraced by administrators. It may betoken a strategic shift in the way a country of 1.3 billion people defines progress and its approach to growth.

Hu adopted and expounded the concept, created and advocated first by Asian Development Bank economists, in an international context, while addressing ministers of human resources from across the Asia-Pacific area. Inclusive growth in that context, according to Hu, means to let all countries, regions and groups benefit from the fruit of economic globalization and development. This is at the same time a statement of the Chinese commitment to common prosperity and a passionate call for countries to share growth opportunities.

The Chinese diplomatic philosophy has always placed considerable weight on sharing. The country can still do better in that regard as its wealth accumulates but the real challenge in achieving inclusive growth lies at home.

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It is yet to be seen how the new idea will be positioned in relation to the "scientific outlook on development", the catchphrase of the present-day Chinese mainstream development philosophy. The human dimension it has brought about, however, deserves an equal, if not more privileged status than the once-neglected factors of environmental consequences, resource availability and regional imbalance.

Inclusive growth, in the domestic context, must give priority to regions and groups that have been marginalized in the country's pursuit of growth. This relates to fairness.

An embarrassing truth behind the country's proud stories of 30-odd years of amazing development has been the pervasive gaps between regions and groups. It is actually the foremost source and amplifier of dissatisfaction in society. Making sure everyone can share in the benefits of growth is not only a moral obligation but also an indispensable precondition of stability.

For growth to be inclusive, no group should be left behind in reaping the rewards. This is also the focus of public discourse about fairness. The unfair pattern of distribution of income and various other resources must be transformed so that opportunities of growth are not monopolized by the privileged few.

Yet inclusive growth is not only about outcome; it is also about process. The government has an obligation to ensure all citizens have equal access to the process of growth. That means they should be guaranteed equal rights and opportunities in education and employment.

The understanding of inclusiveness will not be complete without the participation of everyone involved and the sharing of benefits.