China turns spotlight on digital economy in quest for ‘common prosperity’ under President Xi Jinping
- National development and data authorities jointly release plan for digital technology to support the development of China’s real economy
- Government will ‘consistently narrow disparities’ while striving to ‘bridge digital divide’, National Data Administration says in WeChat blog post
China will focus on the digital economy to promote President Xi Jinping’s vision for “common prosperity”, national planning and data authorities said.
The government “aims to consistently narrow disparities among regions, urban and rural areas, various demographic groups, and among fundamental public services, while striving to continually bridge the digital divide”, the data administration said in announcing the new scheme on its official WeChat social media account.
The policy is seen as key to reducing income inequality and avoiding the middle-income trap where growth stagnates and incomes stall.
It also seeks to foster a more equitable distribution of wealth across regions and society, as China’s rapid economic growth has led to significant income gaps.
To that end, the digital economy and new digital infrastructure are key areas now being prioritised by Beijing.
