 Ladies and gentlemen, we are starting immediately. Please take a seat. Thank you. Ladies and gentlemen, please welcome His Excellency Premier Li Keqiang of the People's Republic of China. His Excellency Prime Minister of the Kyrgyz Republic. His Excellency Prime Minister of the Republic of Korea. His Excellency Deputy Prime Minister of the Republic of Turkey. And Professor Klaus Schwab, Founder and Executive Chairman of the World Economic Forum. Your Excellency Li Keqiang, Premier of the People's Republic of China, distinguished heads of government, dear members, partners, and guests of the World Economic Forum. It is my great pleasure to welcome you all to this, the 10th annual meeting of new champions. Over the past 10 years, this annual meeting of new champions has evolved into the foremost global gathering on science, technology, innovation, and entrepreneurship. This is the meeting of pioneers and experts who will shape the future and lead the fourth industrial revolution. Other than China, I can't think of another country that would be a better backdrop for these discussions to take place. Because China is undergoing an economic transformation, the speed and magnitude of which has never before been seen on this planet. From gene editing to space exploration, from patent filings to research papers, from a vibrant social network app used by more than 700 million global users to the 24-hour record online sales of 14 billion US dollars on Singles Day last year, Chinese entrepreneurs, scientists, and consumers are redefining the global innovation and economic landscapes. But the path forward has not yet been mapped. We are entering an undiscovered age with as many risks as opportunities. Over the coming days and beyond this annual meeting of new champions, we look to our new champions gathered here to understand and positively shape the fourth industrial revolution and its transformational impact. And now, dear guests, let us welcome our host, Mr. Huang Xinguo, Acting Party Secretary and Mayor of Tianjin. Your Excellency, distinguished Premier Li Keqiang, distinguished Chairman Shuabe, distinguished friends and guests, ladies and gentlemen, good morning. In this beautiful season with exuberant green landscape, 2016 Summer Davos Forum has opened ceremoniously today. The world attention once again focuses on the city of Tianjin. On behalf of CPC Tianjin Municipal Committee, the municipal government, and 15 million people of the city, I would like to express my warm congratulations on the opening of the forum and extend my sincere welcome to all the honorable friends from China and the rest of the world. There is an old saying in China, which says, it takes a decade to make a fine sword. The first Summer Davos Forum was held in China 10 years ago. Now the forum has grown strong and whole. It has offered an important platform for the global new champions to make exploration for innovation and plan for the future. The forum has also helped tying a beautiful Chinese knot for top world talents in sharing wisdom and ideas. Along with the development of the forum, the city of Tianjin is advancing with great strides forward in the world. Hereby, please allow me to express my sincere gratitude to Professor Schwab, the WF Foundation, the ministries, provinces and municipalities and all the honorable friends. Sincere thanks to you all. At present, the world economy is still in the period of profound adjustment after the international financial crisis. Although the full economic recovery is beset with arduous tasks and multifarious and complex situations, the fourth industrial revolution bears a strong momentum and have a sweeping impact. The new round of industrial revolution characterized by cutting edge technology of big data, cloud computing, artificial intelligence and quantum communication with intelligent technology and information technology at its core will completely change the traditional way of life and production and reshape the economic landscape in the future. The forum has the theme, the fourth industrial revolution and the power of transformation dedicated to the in-depth discussion of new path and new driving force of the transformation. This theme coincides with the Chinese economic development strategy in the period of economic transformation upgrading and conforms to the trend of the times at its great and special significance. It's both our hard-won common opportunity and a shared responsibility to conform to the historical trend and promote the transformational global economy. Where does the power of transformation come from? Firstly, it comes from innovation and exploration. It is important to constantly promote the all-round innovation with scientific and technological innovation as the core. It is also important to drive new business model upgrade by new breakthroughs in industrial technology. Competitive advantages will be reshaped and the initiative in economic transformation will be won. Secondly, the power of transformation comes from governance optimization. It's important to adhere to the principle of equality, mutual trust, inclusiveness and mutual learning in the establishment of a fair, equitable, rational and orderly international governance structure so that more countries can benefit from industrial revolution. Thirdly, the power of transformation comes from the openness and the cooperation. One strand of silk does not make a thread. One tree does not make a forest. Development through transformation is a long and arduous task which calls for further deepening of tangible global cooperation, elimination of trade and investment barriers, promotion of free-flow and optimal allocation of resources and expansion of wind-space for economic growth. Tianjin is the cradle of China's modern industry. In China's new round of economic development, the city is playing the role of new champion with vitality of innovation and the development. In recent years, led by the concept of innovative, coordinated, green, open and shared development, advocated by President Xi Jinping, we stick to the scientific and technological innovation in driving economic transformation and a structural adjustment promoting industrial upgrading and the quality and efficiency of economic development has improved steadily. For the past five years, the Tianjin's GDP average annual growth rate has been 12.4% and the fiscal revenue increased by 20.1% each year at present, according to the definition of Tianjin, given by the central government and what we are speeding up, the construction of the national advanced manufacturing research and development base, international shipping hub in North China, financial innovation and operation demonstration area, and a pilot zone for reform and opening up. We are forging ahead towards the goal of building a moderately prosperous society in an all-round way. Distinguished guests, ladies and gentlemen, the times call for the power of transformation. The world is looking forward to the era of transformation. Let's join hands, keep pace with the times, seize the opportunity for transformation, gather the wisdom of innovation, and jointly create a bright future for the world economy. Finally, I wish this forum a complete success and I wish all the honourable friends a pleasant stay in Tianjin and fruitful results in your work. Thank you all. The highlight video for the 10th anniversary of the annual meeting of the new champions. Ladies and gentlemen, please welcome founder and executive chairman of the World Economic Forum, Professor Klaus Schwab. Your Excellency Li Ke-shan, Premier of the People's Republic of China, distinguished heads of government, members of government, dear partners and guests of the World Economic Forum, dear friends, a warm welcome to all of you to the 10th annual meeting of the new champions and the fifth meeting here in Tianjin. And first, acting party secretary and mayor, I would like on behalf of all of us, our to express our great gratitude for the hospitality in this great, beautiful, fast-driving city. We have a record participation. Over 2,000 political, business and other leaders of society from over 80 countries. Premier Li, this participation is a clear demonstration of confidence in China's leadership's ability to master the challenges created by the new normal of lower global economic growth. But also in a world of heightened turbulence and uncertainty as we just have experienced last week. The annual meeting is convening under the same. The fourth industrial revolution and its transformational impact. Corresponding to the same, I am proud to see you and to welcome you here, the true pioneers, the new champions of this revolution, the most forward-thinking scientists and entrepreneurs. You will shape the transformation of the world into a new era of unprecedented technological opportunities. China, with its 13th five-year plan, particularly with its supply-side reforms, is clearly paving the way into this new industrial age whereby innovation and talent will be the main economic driving forces. As you said in your opening speech last year, Mr. Premier, and I quote, creativity of the people is the greatest asset for development. Premier Li, I'm also proud to say that this summit reflects truly the fundamental forces of the fourth industrial revolution. It uses and integrates the most advanced technology and interaction tools to ensure, ultimately, that we all work together to meet the transformation challenges not only in this country but worldwide and that we master the transition from the old to the new, often called creative destruction or destructive creation. Global collaborative efforts and initiatives which bring together like here all relevant decision-makers have never been in greater need. The world is even more interconnected, driven by technology and innovation, but we need to develop regulatory principles and agile frameworks to ensure the best and coordinated use of technology so that all global citizens can thrive in this new era. The forum will continue to shape the systems for the future, connecting the dots and providing a comprehensive platform for catalyzing and integrating all the needed efforts nationally and internationally. But all of those efforts must be based not only on innovation but also on coordination, green development, opening up and I emphasize particularly sharing. Your Excellency, our presence here would not have been possible without the partnership which we have built with the People's Republic of China over the past 37 years. Thank you particularly joining us again and thank you, Premier Li, for this unwavering support. Ladies and gentlemen, please welcome His Excellency Li Keqiang, the Premier of the People's Republic of China. Professor Klaus Schwab, distinguished head of government, distinguished guests, ladies and gentlemen, friends, it's a great pleasure to meet you again in Tianjin. At the outset, I wish to congratulate on behalf of the Chinese government the opening of this annual meeting of the new champions and extend a sincere welcome to all our guests and friends from the press. This is the 10th annual meeting of the new champions of the Summer Davos in China. We have a saying in China, it takes 10 years to grow a tree. If we compare the Summer Davos to a tree, then after 10 years of careful nurturing, especially with the efforts of all of you present, this tree has born rich foliage and a bountiful fruits. Showcasing to the world the process and achievements of China's reform, opening up animal modernization, and contributing wisdom and strength to the common development and prosperity of China and the world. It has also provided an important platform for our joint efforts. When the international financial crisis broke out eight years ago, countries have resorted to various tools to overcome the crisis. However, eight years on, recovery has fallen far shorter people's expectations. Global trade and investment is lackluster. Commodities and financial markets experience volatility from time to time. Growth prospects of developed countries and emerging economies are diverging and there's growing geopolitical risks and uncertainties. A few days ago, the Britons voted out of the European Union in a referendum. Its impact is already demonstrating on the international financial market and it is adding new uncertainties to the world economy. Under such circumstances, to promote world economic recovery and the economic growth of all countries, we need to jointly tackle challenges, strengthen our confidence and create a stable international environment and find the solutions to address the root causes together. I want to make it clear that Europe is an important partner for China and China will continue to be committed to maintaining and growing China-EU relations and China-UK relations. We hope to see a united and stable European Union. We also hope to see a stable and prosperous UK. Against the background of globalization, it is impossible for us to talk about our own development with no regard for the international economic environment. Therefore, we need to work together to make progress through joint efforts. The theme of this is session the fourth industrial revolution and its transformational impact has offered people a new perspective to seek economic transformation. Therefore, it is a relevant, highly relevant theme for discussion. Here, I want to share with you a few thoughts in this connection. First, to promote stable recovery of the world economy, we need to actively carry out structural reform. To address the deep-seated problems in the world economy, we need to both strengthen demand management and concentrate our efforts on structural reform in order to eliminate root causes. Although countries vary in their national circumstances, they should all move in the same direction of addressing economic imbalance advancing fiscal and financial reform using restrictions, promoting competition, supporting innovation, expanding, opening up and work together to promote strong, sustainable and balanced world economic growth. Second, to promote stable recovery of the world economy, it is imperative to speed up economic transformation and upgrading. For the world economy to walk out of the world, the solution lies in transforming growth pattern and replacing old drivers with new drivers. To promote economic transformation, we need to seize the opportunity provided by the new round of industrial revolution and scientific and technological revolution to give boost to the growth of new economy and the upgrading industries. The various parties need to adapt to the prevailing trend and focus their policies on supporting economic transformation and upgrading and giving stronger momentum to economic growth. Third, to promote world economic recovery, we need efficient and orderly global governance in the face of common challenges. Only by strengthening unity we'll be able to help all to succeed and this is the only right way forward. Countries must adopt more growth-friendly policies, strengthen macro-policy coordination, steadfastly advance trade and investment, liberalization and facilitation and endeavor to build a fairer, more just and open international economic system. For the world's major economies, while formulating macroeconomic policies, they should not only consider their own growth but also the spillovers of these policies because we all live in the same global village. Ladies and gentlemen, having experienced years of rapid growth, the Chinese economy has entered a new normal and this is also a topic of keen interest to all of you. In the face of mounting economic downward pressure, we did not resort to indiscriminate strong stimulus. Instead, we have innovated the means of macro control, advanced structural reform and focused our efforts on cultivating new drivers and upgrading traditional drivers and over the past few years we have maintained a stable economic growth and we continue to lead the world's major economies and more importantly, we have made positive progress in structural adjustment. The journey we have traveled over these past few years is filled with risks and challenges yet it is encouraging that the new drivers are growing rapidly. Although they cannot yet compare with traditional drivers in size, they do play a bigger role now in securing employment, increasing people's income, promoting transformation and upgrading and also supporting development. Given time, the rising new drivers will open up new prospects for the Chinese economy. Like the theme of this year's annual meeting, we are embracing a new round of digital revolution. This year, despite the continued slowdown of world economic growth, the Chinese economy has maintained overall stability and made steady progress and it has been kept well within the appropriate range. This is indeed not easy. China's GDP expanded by 6.7% in the first quarter and continued stable growth in the second quarter. Some grain production is expected to be a harvest again. Corporate profits in the industrial sector are steadily rising. The service industry is rapidly growing and market sales are steadily expanding. CPI is basically stable. Dropping PPI has been narrowed. Energy intensity and emission of major pollutants continue to drop. In particular, PPI has been kept stable. In the first five months of this year, in the urban sector alone, 5.77 million new jobs were created completing 58% of the annual target and the surveyed unemployment rate in 31 major cities in May was 5.02%. And the unemployment rate has been captured at this level for the past few years. And also in the first half of this year, the stable growth of the Chinese economy is very much attributed to the role of innovation, reform, adjustment and transformation. We have made great efforts to promote mass innovation and entrepreneurship every day and 40,000 new market entities are created, including over 13,000 new enterprises in the first five months of this year. The growth speed in the creation of new market entities has been higher than the previous two years. At the same time, the leading role of consumption is strengthening and the service industry is becoming the largest industry in the economy. New forms of consumption such as information communication smartphones and new energy vehicles are booming. The five happiness industries, namely tourism, culture, sports, education health and old age care are rapidly growing and are promoted the upgrading of consumption and also new technologies, new business forms and a new economy are flourishing in China high-end manufacturing e-commerce and other sectors that are going through transformation and upgrading are also advancing by needs and bounds. Enterprises, industries and regions that have started transformation earlier and developed new industries faster have maintained a sound momentum of growth. So on the whole the Chinese economy now has improved structure, enhanced ecology and a growing momentum. On the other hand, we're also aware that because of the complex and the severe international environment and the deep-seated problems that have accumulated over the years in the domestic economy, the foundation of the stable operation of the Chinese economy is not yet firmly established. The impact of the external demand in driving growth is waning. Private investment and manufacturing investment are sluggish and there are still potential risks in finance and other sectors. In those industries with serious overcapacity and regions with unitary economic structure, there are still some of difficulties and the downward pressure on the economy is still mounting and the difficulties cannot be underestimated. The fact that we have faced up to these difficulties and admitted these difficulties shows that we have the confidence, determination and the capability to prevail over the difficulties. There is more hope than difficulty in the Chinese economy. The fundamentals of the Chinese economy have remained unchanged and our macro policy will maintain its continuity and stability and we will continue to innovate the model of micro control, implement the proactive fiscal policy with greater intensity and efficiency, carry out the prudent monetary policy in a flexible and appropriate fashion and channel more resources into areas that can help strengthen the weak links, increase momentum and take development to a new level and also to areas that can help promote economic transformation and upgrading. At present, the debt ratio of the Chinese government is about 40 percent. While the debt ratio of the central government is only about 16 percent, which is fairly low among the world's major economies, well, this gives us space in carrying out a proactive fiscal policy. We have high domestic savings rate which means the potential for the end of multi-tiered capital market and latitude in improving financial regulation and optimizing the allocating of financial resources. We can create conditions and use market tools to gradually bring down corporate leverage ratio and financing costs. We do not only have ample policy tools to keep the economy within an appropriate range, but also the capability to fend off systemic and regional risks. In this transitional stage, short-term fluctuations of China's economic growth are hardly avoidable and there might be changes in the various traditional economic indicators, but we should also see and understand that some of the changes brought out by the development of the new economy are not yet fully visible. We need to promote economic transformation through structural reform and keep the economy within the appropriate range. The Chinese economy will not head for hard landing and we are fully capable of meeting all the primary targets of economic and social development for this year. The Chinese economy has huge potential, strong advantage and broad space and the prospect of the economy is bright. We are the largest developing country in the world and we have over 100 million workforce, including over 170 million who have received higher education or training of professional skills. We are also the largest manufacturing country in the world, a major trading nation of goods and services, and also a major destination and a source of foreign investment. China is also the second largest consumer market in the world and China's middle income population is in hundreds of millions and it is still steadily expanding and the rural poor population is declining year by year and the number of permanently registered urban population is increasing by tens of millions tens of millions every year. China is an emerging market with huge growth potential and it is also a big stage where the talents of people can be fully explored. We welcome investors from both home and abroad to seize the opportunity provided by the Chinese market and develop their business in China. We are and will always be optimistic about the Chinese economy. Optimism is a sign of confidence. In the market economy confidence can guide expectation. Confidence in itself is a strong strength and power. Ladies and gentlemen, the Chinese economy is at an important stage of growth, driver transition and economic transformation. We will focus on development as we pursue innovative, coordinated green, open and shared development as identified in the 13th 5-year plan. While expanding aggregate demand will well step-fastly advance supply-side structure reform cut-over capacity destock, deleverage lower the costs and strengthen the weak links so that development can be less reliant on natural resources and be more driven by human resources and innovation thus enabling the Chinese economy to maintain medium-high growth rate and achieve medium-high development. We will guide economic transformation and upgrading through innovation. Innovation is the primary driving force of development. We need to implement the strategy of innovation-driven development, build an innovation-driven country. We need to fully harness the vision of innovation. This requires us to develop the new economy and cultivate new growth drivers. We need to vigorously promote mass entrepreneurship and innovation further advance the Internet plus initiative extensively apply the Internet of Things, big data, cloud computing and other information technology of the new generation promote integrated development of different areas and give rise to more new industries new business forms and business models. We need to roll out new products and new services that better meet the needs of the market and build platforms for mass participation cloud sourcing, cloud support and cloud funding to pull strengths to accelerate innovation and foster new areas of growth. Yesterday I visited a company in Tianjin with only 270 staff but he established a cloud computing platform about 200,000 software developers were registered in this platform and through this platform these developers or programmers can provide the new designs and this company itself through this platform can seek solutions from these programmers. They have a very equitable distribution model. When we talk about developing new growth drivers it doesn't mean that we no longer need transformation and upgrading of traditional industries in fact the new economy is also transforming traditional industries the company I just mentioned actually serves 40,000 companies. Most of them are in traditional industries more than 15% of those enterprises are big companies and this tech firm mainly provide smart upgrading of the equipments of those companies and provide software solutions to these companies so that the company's manufacturing can be smarter and more customized and can better meet the needs of the market there are so many such companies of this kind emerging in China and it shows that traditional growth drivers are being transformed into new growth drivers and they are giving rise to new forms of business we advocate the vision of innovation and it also refers to a spirit of sharing sharing is also sharing economy is also one that encourages mass participation the spread of economic globalization and the internet has provided broad space for people to start up business and innovate. We will through mass innovation and entrepreneurship combine the innovative activities of the leads and grassroots the offline and online the enterprises and the research institutes so as to combine the individual actions of numerous market players into synergy when we combine these forces we will create great synergy this can help promote cooperation and sharing of IND professional knowledge and professional skills sharing economy is an economy that everyone can participate in and benefit from it can help contribute to reasonable income distribution and provide a chance for everyone a fighting chance for everyone to achieve their dreams it will also allow everyone to live up to their fullest potential and it could also help enhance social equity we will comprehensively deepen reform to promote economic transformation and upgrading reform remains the source of strength for our development supply side structural reform is a priority for us the Chinese economy faces some structural problems both on the supply and demand side but mainly on the supply side we need to use reform to advance structural adjustments reduce inefficient and low end supply and expand efficient and medium high end supply this could help transform our economy and also promote economic growth an important aspect is to phase out outdated production capacities what is important is to cut over capacity in steel, coal and other difficult industries we need to adopt a market based and rules based approach apply strict standards in environment protection quality and safety and the biggest challenge is how to address costs the enterprises need to take multiple measures to ensure that their employees can be re-employed and the central and local governments need to provide support in taking care of the staffs over capacity is a global issue we will take initiative to cut over capacity and this is what a responsible country would do we will further streamline the implementation and improve services build a level playing field delegate government powers wherever possible and give more freedom to the market and also strengthen regulation during and after the handling of the matters we also need to explore inclusive and effective potential regulation support and guide the healthy business model for those who find themselves in trouble but are moving in the right direction we need to give them timely guidance remove the risks but we can't stop eating for fear of choking we need to give them reasonable space for development for those involved in IPI infringement flawed in the name of innovation we will punish them strictly according to law we will also open the platform for government public services and promote sharing of government information to make things easier for the people and enterprises and enhance the efficiency of government services we will also make great efforts to cut taxes and lower the burden for the companies so that the financial sector can better serve the real economy we will further streamline the state-owned enterprises and give more market access to the private sector and we will also promote economic transformation and upgrading through opening up no matter how developed China becomes in the future we must have mutual learning with the rest of the world and will open wider to the outside world we will further enhance our open economy wider our services industry and the manufacturing industry provide more investment opportunities for foreign businesses and build a more fair, transparent and predictable investment environment all companies registered in China, be it Chinese or foreign funded joint venture or independently owned we will treat them all as equals in the face of the complexities and the fluctuations and the international financial markets will stay committed to a managed floating exchange rate regime based on market supply and demand with reference to a basket of currencies the fundamentals of the Chinese economy determine that there is no basis for persistent devaluation of the IMB we have the capacity to keep the IMB stable at an adaptive and equilibrium level China will stay committed to peaceful development and a win-win strategy of opening up we stand ready to work with all countries to promote inclusive and balanced growth and green and sustainable development ladies and gentlemen Tianjin is a major port in China it is also a major port that can participate in international competition it is a starting point of a voyage to the vast oceans for a giant ship to sail far sustained and strong momentum is required we stand ready to work with the rest of the world to seize the opportunities of the new round of technological and industrial revolution seek new drivers of growth build new engines of economic growth and promote study recovery of the world economy in transformation and upgrading so as to usher in a better future for the development of human society I wish the meeting a full success thank you thank you for sharing with us such a comprehensive integrated vision of China's economy we should not underestimate the challenge to leading such a large economy with such an impact on the world to lead such an economy when we are faced with headwinds but graciously you have agreed to answer one or two questions premier you described the you described the structural and reforms and the economic adjustment and I think it's remarkable to achieve 6.7 growth in the first quarter and you also shared with us that this growth rate is quite stable but there are still very substantial downward pressures now my question would be are there any measures which the Chinese government will take are there any measures which the Chinese government will take to secure primarily are there any special measures the Chinese government will take to secure healthy and sustainable economic development in few of those continued downward pressures and I should add we have consecutive translation so you don't have to use your earphones I think we shouldn't underestimate such a big economic body especially it has such a big impact on the world economy to face your challenges I have no doubt in the course of the development of such a economic body I would be very honored to be able to represent the members of the committee to answer two questions you mentioned in the speech the structural reform and I believe that in the first quarter of this year the Chinese economy achieved 6.7% growth is an incredible achievement and you also mentioned that the Chinese economy continued to maintain stable development at the same time we also see the Chinese economy still faces huge downward pressures when facing such a huge downward pressure the Chinese government explained that the Chinese economy continued to maintain 6.7% growth in the first quarter of this year in the second quarter it still has a stable attitude to grow this itself is not easy because it is a already 100,000 million dollar economic growth this year 6.7% compared to two years ago growth is still big this is a little bit more you can push and our growth is in the world economy under the legal situation so far our exit in general is growth we rely on our own internal motivation to pull up the market to provide space we are also in a long-term conflict pushing growth so this growth if we continue to keep this reasonable this is what we hope to achieve in the first quarter of this year China's economy grew at an entering Q2 we have secured a steady momentum of economic performance and neither additional amount then it double-digit growth that we achieved several years ago in particular we are achieving such a growth at a time when global economic recovery is sluggish in the past weeks and months China's exports have been in the growth of Chinese exports has been in the negative territory and we have mainly relied on our internal domestic drivers of growth to secure such a development we have mainly relied on China's domestic demand and domestic market in the meantime we are also taking hard steps to overcome entrenched problems in China's economic development so I believe it's fair to say that if we can keep China's economy growing within its proper range that is already what we can what we hope best what happened to this economy second China has already had such a big technology if we pursue high-speed growth not only in terms of resources and environment but also we can't continue we can maintain high-speed growth that is already able to meet the needs of the country and the increase in people's income and the environment from the policies we have taken in the past few years we have continued to carry out extremely stable monetary policy not to be a strong stimulus rather to further advance the structure of the reform now China's economy is growing our policy can be achieved so we still need to maintain stability second the size of China's economy has become so big so if we only have high-speed growth it will only add for the burdens to our resources and to the environment such a kind of growth is not sustainable at the same time a medium-high growth speed is now already good enough for us in terms of adding jobs increasing people's income and making improvements to our environment as you all know that in recent years the Chinese government has been pursuing a proactive fiscal policy and a prudent monetary policy we did not resort to massive stimulus measures instead we have focused our attention on pursuing structural reforms and I believe our policies have paid off and helped us secure a steady momentum of China's economy third we have changed the world economy and China's economy has been in danger and has been in trouble so we still have a more efficient challenge we still have a more efficient policy tool as you all know China has a lower government debt we still have a more efficient policy tool we have improved the economy we have improved the economy we have a more efficient policy tool so the Chinese policy tool has a more efficient and more I want to emphasize when we are in a short-term economic crisis we should look at the market because China's economy is going to achieve a steady growth and a steady balance through structural reforms especially structural reforms will continue to increase thirdly we will not underestimate the so-called variables in global economic landscape and we will not underestimate the potential risks and the challenges existing in China's own economy that we need to cope with we have a good reserve of policy instruments to help us meet all these various challenges and as I said in my special address the central government debt racial in China is pretty low and there is hence ample room for the central government to do even more in terms of pursuing a proactive fiscal policy and we have a high savings rate in China that means still much we can do in advancing financial reform and ensuring that the financial services will better serve the needs of the real economy we can do so by ensuring that there can be better functioning of the transition mechanism of financial services for the real economy so all these mean that we are well prepared in terms of using all necessary instruments at our disposal to meet these challenges I also want to say to the market that in the face of some short term fluctuations in China's economic performance I hope that the market will view these fluctuations with calm and a cool head because viewing the whole year and taking a long term perspective we believe that China's economy is on track to continue to achieve a steady growth and we will be able to strike a proper balance between securing growth and making structural adjustment by pursuing structural reforms especially the supply side structural reforms to ensure there will be long term sustainable development of this economy thank you I hope that all the companies at the market can become long-term investors of the Chinese economy and not short-term investors of course we don't have a single line but we will manage well the Chinese government will take good care of China's long-term economy I also hope that you as investors and investors we will also solve this problem I have been able to see the effect of this microphone we will see whether we will be able to make investors satisfied just at one point I hope all the business represented here will be long-term investors instead of short-term speculators of China's government it will continue to do its best to provide the market with a good optimistic expectation for the long-term growth prospects of China's economy and I hope that there will also be positive inputs from each and every one of you and in response to some short-term issues or problems the government will do some fine tuning to adjust to the short-term needs or is fine tuning my earplug to test the sound in my ear well in a word I hope that you will continue to have strong faith in China's economy Mr Premier maybe we see industrial revolution in 5 to 10 years we will have implanted microphones would you allow me another question we spoke a lot about and you mentioned the importance of the force industrial revolution for the future of China's economy now what policies will the Chinese government introduce to fully leverage the potential of this force industrial revolution to achieve our exchange you mentioned the importance of the 4th industrial revolution for the future of China's economy so the question I want to ask is what policies the Chinese government will take to fully use and develop the potential of the 4th industrial revolution I already mentioned in my speech to break the problems of the world's economy we need to find the right strategy very important to promote the reform and the new industrial revolution no matter what its name it is not just quietly developing and developing this is a force that cannot be ignored last night I and Mr. Shuabu waited for the members of the meeting when we talked we thought when you went to traditional industrial to look at the main location where there is pressure and even destruction but to the new industries to use the new industrial revolution to develop a huge place to look at the new business the new economy brought not only the light but also the shine of this land that to tackle the problem of a sluggish global economic recovery we must address this issue at its very root hence we believe it is imperative for us to advance structural reforms and in this new round of scientific and technological revolution however one may call it this revolution is not just quietly taking shape coming into being this gathering momentum in a very fast way and this is a force that everyone needs to reckon with yesterday evening I had a meeting with Professor Shuabu and a number of participating delegates it seems that we all share such an impression that is if you go to a place that is dominated with the traditional industries you may find the situation quite discouraging or disheartening but if you go to a place or a company with a large number of new industries enabled by new technologies you can feel not just a glimmer of hope that this new economy is giving each and everyone this new economy is actually casting its light and glow all over the horizon so that it can hold on to the new hope including the fourth industrial revolution the Chinese government greatly created innovation not only technology but also the quality of innovation for people with more creative space and wide range of failures and we are promoting innovation with almost everyone's potential as much as possible because in our reality society even if some born to be loved in terms of music can even show talent we cherish everyone's creativity mankind have the wisdom of embracing and leveraging such new hope in the course of the fourth industrial revolution the Chinese government has put highest premium on making innovations not just technological innovations but also institutional innovation we also need to ensure that human beings will be able to put their potential and talent to best use and we also need to be tolerant of any possible failure or mistake in the course of making innovations we believe that innovation will be the tremendous forth driving us forward and we believe in bringing out the potential of each and everyone that is why the Chinese government has encouraged mass entrepreneurship and innovation we believe that we have seen such examples in our real world that even for an intellectually challenged person he or she may demonstrate genius like talent in say composing music or in other areas so we must have faith in the creativity of each individual second we must truly support innovation, development and innovation the Chinese government has launched a series of advanced innovation and innovation yesterday at Tianjin City they reported that they are not only confident they are not only giving financial guarantee but also giving money compensation just to let financial institutions let innovation and innovation be able to support innovation and innovation and innovation and innovation to support the development of new industries and new economy the central government has already adopted such steps and provided financial support yesterday I was briefed by the Tianjin local officials about what steps Tianjin has taken to boost innovation of micro and small businesses the government is not just providing financial guarantee but also making risk compensation so that venture capital and angel capital will be able to do their best in supporting the development of new industries and upgrading of traditional industries third, we need to implement a different industry to support the new technology revolution we need to promote traditional industries we need to use financial guarantee and quality to eliminate excessive production at the same time, we need to give new industries a positive policy to provide a reasonable development space for new industries third, we will take a differentiated approach in terms of our industrial policies we will introduce steps to boost the transformation and upgrading of traditional industries we will also enforce stricter environmental and product quality standards to phase out excess industrial capacity we will also adopt supportive policy measures to boost the growth of new industries and create a reasonable enabling environment for their growth I would like to emphasize whether you are an entrepreneur or a researcher when we meet next time whether you are improving traditional industries or developing new economy you are a new leader thank you thank you Premier Lee I know how much your speech was expected and you mentioned in your speech how optimism is important but optimism is also based on trust and I think you are comprehensive that you are able to you are comprehensive description of Chinese economic policies give us trust into the continuation of fast on a medium level sustained growth and we live here this room certainly with the conviction that particularly in today's economic situation China will continue to be a very positive force for the world thank you for sharing so generously your time with us we are grateful and I know we we went over time thank you very much for being with us again and I want participants express our gratitude