Beijing Welcomes Once-A-Year Political Get-Together
China’s most important political event of the year, the Two Sessions (lianghui) annual meeting, opens on Tuesday, gathering thousands of delegates in Beijing’s Great Hall of the People. The big-ticket affair will bring together China’s most prominent political leaders, businesspeople, and cultural elites to debate policies that define the world’s second-largest economy. In times of economic turmoil and rising global tensions, the deliberations will offer glimpses into the Communist Party’s priorities for the coming year.
What Are the ‘Two Sessions’?
The Two Sessions are two parallel political sessions: the Chinese People’s Political Consultative Conference (CPPCC) and the National People’s Congress (NPC). The CPPCC, which starts on Tuesday, is an advisory body, providing suggestions on policies without legislative function. It features well-known celebrities from all walks of life, including entertainment and sports, like actor Jackie Chan and NBA player Yao Ming.
The more important meeting is the NPC, China’s highest legislative organ, that begins on Wednesday. With most members loyal to the Communist Party, the NPC effectively ratifies choices that have already been made by the party leaders, prompting many to refer to it as a “rubber-stamp” parliament.
Why Do the ‘Two Sessions’ Matter?
Though these sessions do not have free political discussion, they signal China’s policy direction in several areas, such as economic policy, military expansion, and international relations. Premier Li Qiang will deliver the government work report, detailing economic goals, while Foreign Minister Wang Yi will discuss global diplomatic challenges. This year’s session is particularly significant in that it represents the second consecutive premier’s press conference absence, a departure from previous tradition.
Key Issues to Watch
Watchers are anxiously watching China’s measures to stimulate its weakening economy, which is grappling with poor internal demand, real estate crisis, and increasing young people’s joblessness. Extra American tariffs pose further threats to trade stability as well.
Beijing will likely reveal its economic growth plans for 2025. China’s GDP last year increased by five percent the lowest in 1990, excluding pandemic years. The event will also show the country’s annual military budget, a closely followed metric as tensions increase in the Taiwan Strait and South China Sea.
Investors are most interested in observing if the government gives stronger support to the private sector after President Xi Jinping met with tech leaders recently. The talks have sparked rumors that China will relax its earlier crackdowns on big companies accused of excessive expansion.
With the world tuned in, the Two Sessions will give important insight into China’s domestic and global priorities for the coming year.
