 Introduction. Starting from 1950s, China began the five-year plan in the past 60 years, except for the three years of a great leap forward. All of the remaining years have the five-year plan, and now we are discussing the 12th five-year plan of China. In the 12th five-year plan, there are many important ideas and contents. After the friends get to know more about the 12th five-year plan of China, people pay more attention to the shift of the economic growth model and the social transformation. Today, we will discuss a lot of important ideas in that five-year plan. Several days ago, I learned from a Swiss friend that the biggest expenditure in your life is the items that are not within your budget. So many people are wondering whether this plan can follow up with the change of the world. So our friends, our panelists will give us answers. It is my honor to introduce them to you. First of all, Mr. Zhang Xiaoqiang, the Vice Chairman of National Development and Reform Commission. Mr. Guo Shuqing, Chairman of China Construction Bank. Mr. Wang Bo-ming, Editor-in-Chief of Taijin Magazine, also the founder of Shanghai Capital Market. Last but not least, Professor Zhang Weiying from Guanghua Management School of Peking University. Thank you. So we will start our discussion now. First of all, I'd like to ask Vice Chairman Zhang a question. Since you are from National Development and Reform Commission, I'd like to ask you whether it is necessary to have a five-year plan. Why China has a five-year plan? And whether the plan can follow the changes? And now people are discussing the possibilities of the double dip, and is that included in the five-year plan, and how to adjust our plan? I think considering China's actual situation, formulating the medium-term development plan is very important for guiding social economic development, which has been proven by the experience and the practice. But the content and the theme of every five-year plan changes together with the social economic changes. In the past, we call it a plan, and starting from the 11-five-year, we call it a program. And the plan is legally binding, but now when we talk about a kind of program, it provides guidance for social economic development. For the 12th five-year plan in China, I think all of you understand a lot of the content of the plan because in the 12th five-year program, we emphasize the shift of economic growth model. This is the main theme of the 12th five-year program. I think this is the silent feature of the 12th five-year program. Last night, I watched the summer dowels of its hygiene channel of CCTV. There was a debate about economic growth model and the economic restructuring. Gary Locke, the new ambassador of the United States to China, mentioned that China is taking measures to adjust the structure and the shift from export-driven growth to domestic consumption-driven growth. So this is the content of the shift of the economic growth model. And in the past, we rely a lot on the industry, and now we will develop the industry and the service industry and the agricultural industry. In the past, we rely on the energy and the resources and the heavy cost of the environment. And in the future, we rely on innovation, scientific innovation, management innovation, and we rely more on the talent. Another feature of the new five-year program is that since it is a guidance for China's socioeconomic development, so for those important indicators that are about people's livelihood and quality of growth, they are obligatory indicators. For example, we have obligatory indicators for energy saving and emission reduction, but for the economic growth rate, it is just a guiding indicator. It is just an anticipatory indicator. Just now, you mentioned that perhaps a plan cannot keep up with the changes. If this is just a rigid plan, then obviously it cannot keep up with the changing situation, especially since the breaking out of the international financial crisis. And this year, the U.S. sovereign debt was downgraded and there was a European sovereign debt crisis. So people are concerned about whether there will be a double dip of the world economy. So we can see that while formulating the 12th five-year program, we have analyzed the domestic and international situation. And we believe we are in the period of deepening of globalization and after the international crisis, the world economy is full of uncertainties. So to maintain the effectiveness of our 12th five-year program, we need to ensure it is flexible. So in the first year of the 12th five-year plan period, we adjusted our macro policy from last year's proactive fiscal policy and relatively relaxed monetary policy to proactive fiscal policy and sound or prudent monetary policy. So I think China will take a pragmatic and flexible attitude in implementing the 12th five-year plan. From your perspective, Mr. Guo, how do you look at this pragmatic and flexible attitude and what do you think are the main challenges for implementing this 12th five-year plan and especially for the banking sector and financial sector how to respond to those challenges? I think in the 12th five-year plan period, our plan just to point out the general direction as mentioned by Vice Chairman Zhang. For the economic development, we need to base on China's actual situation to make our judgment and to make decisions. This is also true for each enterprise and for each bank, but for those important challenges, we cannot avoid meeting those challenges in the 12th five-year plan. The first is the industrial structure upgrading and restructuring. This is a big challenge for the banking sector. We cannot continue to support those low-end manufacturing industry for their blind expansion because there is overcapacity and they consume a lot of energy and resources, so we need to make adjustment in this field. This is true in the manufacturing industry. It is also true in the service industry, but generally speaking, we need to develop the service industry in a general way in China. You may ask what kind of sectors are most promising. All of the service sectors are promising, I can tell you, because they lack a serious lay behind, and also we need to develop the financial sector and the banking sector. People say that in the banking sector, there is a serious monopoly, so the banking sector is developing slowly. Maybe market access is an issue, but this is not the key issue for the talent and for the organizational form. We are quite different from other countries, so we need to accelerate the pace for the development of the banking sector. And for the FDI, this is also true for those high-end manufacturing industry in general. In the service industry, we need the FDI, and we need to open up our market for investment. The third area which I think is very important, the second area which is very important is the coordinated and balanced development of urban areas and rural areas in the past three decades, including the three decades before reform and opening up, that is in the past six decades. In the process of industrialization, most of the time we have the segregation between rural areas and urban areas which is rarely seen in other countries. That is the welfare and the status of rural residents and urban residents are vastly different from each other. And now the migrant workers from the rural area receive less remuneration, two times less of remuneration than people who are doing the same job but they are from the urban areas. So I think the coordinated and balanced urban development is very important for the 12-5-year plan period. And the third point is to establish a social security system covering all of the population. I think this is very important for China in boosting domestic demand and solving a lot of social problems. The fourth is science and technology. Now the whole world is talking about education reform and education development. I think Professor Zhang Weiying is in a better position to talk about this because he is from Peking University but different countries have different educational reform. President Obama is saying that United States need educational reform because he said that some of the high school students and college students are lagging behind that of China and India and he regards this as a very serious issue. And Prime Minister Cameron of UK is also emphasizing the importance of educational reform because of the educational problem. There are some chaotic situations in UK and in China the educational issue is a very serious issue. For a long time our education is oriented to examination and there is a lack of creativity in education so Prime Minister also talked about educational reform yesterday. As for the science and technology management system to a large degree we rely on the system we established in the planned economic period. The expenditure is expanding but the scientific results failed to be translated into commercial products. So you have listed a lot of issues. The last is biological, ecological system protection and energy saving and emission reduction. To solve these problems we need to rely on reform. President Hu Jingtao said that we cannot avoid the issue of science and technology management system. This is a long list. The most important issue is mentioned by Mr. Guo so now I'd like to ask Professor Zhang to talk about the priorities from this list. It seems that all of these things are intertwined with each other and how to find a breakthrough point from these. I think the most important thing is reform itself. He talked about education. I think he is very frank because in the past several decades we have a failure in our education because we understand education as a dissemination of knowledge and didn't regard education as an opportunity to develop people with creativity and with a high moral standard. If we eliminate all of the schools in China then the knowledge level of the people will be reduced but their moral standard will be raised. I think this hasn't attracted our attention because starting from the primary school and we are telling our students to tell lies and this has affected the quality of the people and now many businesses do not get the trust from the people so we need to think about it from an educational perspective. Also what I would like to say is probably not the same as Mr. Zhang Xiaoxiao. Actually during the last six decades the programs and plans they are really successful. If we look at starting from 2005 every year we plan that the revenue increase 10% however the actual increase is 20% and 30% so that our plans and programs can never catch up the reality. So for plans and programs what is that? That is a bunch of smart people doing something stupid and now we are emphasizing so much hope in the plans and in China the economy development is still governed by the central government. I think first of all to expand domestic demand is a wrong concept. What we should do really we should expand domestic markets because we think that using stimulus measures can promote economic development that is wrong. What should we really rely on? We should really rely on entrepreneurship however this entrepreneurship cannot be achieved by those stimulus packages as stimulus measures. We cannot create entrepreneurship we can only cultivate entrepreneurship. Also the enterprises needs creation, needs industrial upgrades and just now Mr. Xu Qing has mentioned that it is important who we should rely on in terms of creation we cannot only rely on government in terms of creations. Actually for those a lot of government's policies in terms of the promotion of creation they all fail in the end and the enterprises only use those policies to get money at the end. You can all look at that. Also it is true for the industrial upgrading. We have emphasized industrial upgrading for a lot of years however it is not successful. Why is that? Because we do not rely on markets we do not rely on competitiveness. It is only when those enterprises in the market cannot exist anymore that they begin to create they begin to take innovations. It is only when they are beginning to fail that they begin to create. So what do we need the most? We need reforms. Currently in those 12-year plans there are a lot of hard indicators however there are not enough emphasis in terms of reforms. That is our lot to point out. Thank you very much. Mr. Zhang has given a very good explanation. I would like to introduce Mr. Zhang he is a very famous reformed advocate in China. As you said now the thing that a 12-year plan is not very useful however yesterday when I talked to a friend he said it is a very good thing that China has a 12-year plan because at least you have a plan to carry out infrastructure construction however in our country in France there is not such a plan however his comment does not represent the French government's position. I would like to ask Mr. Zhang could you please respond to his comment just now? Mr. Zhang in terms of implementation of the 12-year plan in China just now Wei Ying has said that in the 12-year plan there are a lot of objectives how can we achieve those objectives? I think we should in accordance with the successive experience during the last 30 years of economic development in China I think we should regard it reformed as the drawing force in terms of the future socio-economic development just now Wei Ying has said that the 12-year plan has given some guidance and principles in terms of the future socio-economic development however there is no detailed guidance I'm not sure what I can say this as a 5-year plan it has pointed out the important areas in terms of reform this is very important that means for the Chinese government it requires that the future development should be in that aspect in that area so under that guidance relevant departments and relevant institutions should set up their own detailed plans which include plans in the deepening reformed in finance in financial areas and I know that Xu Qing is an expert in that area also how should we deepen the reforming text how should we deepen the reformed in the pricing mechanism also how should we improve the pricing mechanism for refined oil products all those questions needs our answer so we need detailed plans to implement the plans also we should further the reform and opening up it is only in that way can we achieve many of the objectives in the 12-year plan and at the beginning I've said that for a lot of the objectives in the 12-year plan they are expected and we should pay a lot of the intentions in terms of the objectives concerning people's welfare and Mr. Wang just now the panelists has talked about the national economic development and we know that for the 12-year plan it's not just a plan for the socio-economic development it's also a plan for the development of the society so from this perspective I remember that I've talked to you in the past you've mentioned the words that the transformation of China's society but I'm not sure we can achieve that within five years time so could you please tell us what you think about this 12-year plan I would like to add a few comments based on what Mr. Zhang has said he said that the 12-year plan is not very that helpful do you mean that the NDRC is no longer useful I should say that for NDRC is the reform and development committee and I know that Mr. Guo Shuqing has worked for the relevant departments which concerns about the reform as well you've involved in the reform work before as well so today we're talking about the reform the other three panelists all talk about the economic planning in the 12-year plan so I would like to focus more on the social parts for now the economic development has passed during the past three decades China has been undergoing economic transformation and development which resulted in high-speed economic development and economic market structure and during the past three decades this reformed, this economic reform has been continuously non-stop and at the same time there's a lot of problems and conflicts exist and have been accumulated during the past three decades we have seen a lot of the conflicts in the society and have seen a lot of the problems in the society and a lot of the problems are concerning the middle class and now besides economic reform we think that maybe in the future we might have to deal with the problem which concerns about the transformation of the society and the transformation of the society concerns about the transformation of the functionality of the government and the government should be more tolerant or more diverse or more allowed different levels to co-exist in the society and share the achievement of the development and reform and at the same time we can have a very good interaction in the society so that in order to achieve the transformation of the society I think there are mainly three themes the first, for now the functionality of the government should transform from development or development times, government into government that provides services and provides public goods and now indeed our government really is in control of a lot of things and today during the journey to the conference hall an entrepreneur in the Dalian who is also in this conference room told me that he is now responsible for the training of the school he said the most difficult part of that is the checking and approval of the project he said that in terms of approval in terms of any approvals he should see the approval documents from the government and he said why do we need any approval documents even for training for schools he is very confused so that for me the transformation of the functionality of the government the main priority should be given services to the society and the second theme yesterday in Mr. Wen's speech he mentioned about the transformation of the functionality of the institution that is to say in today's society we should establish a monetary system which is commensurate with today's social economic development that is allow our general public to be informed to have the capacity to monitor and supervise the government also in terms of the media because nowadays we know that society is getting more and more complex so that the role of the media should be transformed as well including CCTV the central television of China the media in China nowadays should have more capacity to supervise so that the society could be more transparent the third theme is also mentioned yesterday by Premier Wen is the rule of law I think what Premier Wen said is very important he said that for many years the greatest problem in terms of the reform is that is the rule of law more important or is other things more important the party more important if the rule of law is more important then I'm sure that the society will be a better one if the ruling of law is not important then the reform might not be successful so how can we use the rule of law to maintain the order of the society and protect the rights of the vulnerable we must make sure that the ruling of the law to make sure that the rights of the vulnerable population be maintained, be safeguarded that is to say how can we be sure that the rights of the vulnerable population be protected so that's the three main things that I would like to talk about and we should establish a commensurate supervision and monetary systems and then at last we can have a society under the ruling of law and to achieve a nation under the ruling of law so I can see that during the meeting between the Premier Wen Jiabao and the business leaders you have studied very carefully the main points of Premier Wen Jiabao's speech and now when we talk about the economic planning and also yesterday with her Premier Wen talked something very important that is to say the things that influence Chinese economies not only some domestic factors but also include international factors so could Mr. Zhang give us some briefings please I think as far as China's development is concerned we emphasize that by 2020 we will have a relatively well-off society and the 12th five-year plan is the key period for attaining that goal this includes economic development and social development and cultural development just now we mentioned that in the past development process we paid a lot of attention to economic development or giving top priority to GDP growth but so I think that's a misinterpretation of Mr. Deng Xiaoping's principle development is the absolute principle so that's why we want to keep abreast with the change of the time and after 2003 we put forward the scientific outlook on development so China's development should be people-centered and coordinated and sustainable development because in the past we have an imbalance of economic development and social development social development like the behind so in the next period including in the period of 12th five-year plan we need to satisfy people's demand not only the material demand but also educational health and social security and other kind of demands so I feel in the 12th five-year plan we need more attention to those social undertakings of course to achieve coordinated social economic development the government system needs to be reformed and the government function needs to be transformed we need to build service-oriented government I think all of these are the top priority for us China's development cannot develop without the world and the world cannot develop without China this is a kind of cliche but it is the reflection of the reality the basic feature for China's past three decades development is reform and development especially since China's entry into WTO in 2001 China has been integrated into the globalization process and China's interrelation with the world economy has been strengthened so when the world economy is in a crisis it is impossible for China to be immune to the effect actually the international financial crisis broke out in 2008 it has a big impact on China's economic development and now people are discussing the risk of double dip so China as the largest developing country in the world and the second largest economy in the world how should China play its role? I think this is a hot topic so Premier Wen Jia Bao yesterday used six Chinese characters to describe the vulnerable and complicated world economy he said we have confidence and confidence responsibility and cooperation are most important I think this is a very good point as for responsibility I'd like to elaborate on it a little bit because from last night to today I heard a lot of coverage about the dangerous situation in the Eurozone and some European scholars even suggest because grace may have default so they want to exclude grace from Eurozone and some people had a different idea believing that there should be Euro bonds and the United States is in a difficult situation and Japan has met with tsunami and nuclear crisis so some people are saying that they hope China will stand up to push the world economic development I know this is the aspiration of the people I think in my understanding the responsibility mentioned by Premier Wen Jia Bao means that each country needs to show their corresponding responsibilities China is the largest developing country with 1.3 billion population if we can improve the quality of growth and the development in China then China is responsible for the world recovery and the world economic development especially in the 12-5-year plan we stress the shift from export-driven economic growth to attaching eco-importance to import and export and further opening up China's market this year the import grows faster than export so the trade surplus dropped by 10% over the same period last year so in the international financial crisis China will open wider our market to those countries in crisis this is one aspect also Premier Wen Jia Bao talked about the difficulties of Eurozone and China will buy the European bonds within our capacity but after all the economy of China is only 9.5% of the world total plus the other BRICS countries and also plus South Africa the total is less than 18% of the world total while the United States and Japan and the EU account for more than 60% of the world economy so they need to implement correct policies and show their responsibilities and also countries need to cooperate with each other and coordinate in implementing macroeconomic policies we cannot use the policy of bagging your neighbor or use the protectionist policies because it would be counterproductive Mr. Guo how do you look at the responsibility who should define the responsibility and with what criteria can we define responsibility on the one hand we need to stress responsibility some people may say that doesn't China want to take a leading position now I think this is not a political election or party campaign so what we are talking about is economic development China is a relatively strong economy in the world in the past years domestically and internationally there have been inaccurate evaluations on the position of China in the world economy in other countries some people overestimate the role of China in the world economy and domestically many parties underestimate the role of China in the world economy for example from the perspective of commodity transaction in the world China is the second largest buyer next only to the United States when we talk about raw material and infrastructure for those newly increased commodities transaction China is the largest buyer and China's impact on the pricing mechanism is not so strong I think this is a very important problem and as far as the financial market is concerned in the past five years China's net saving and net China is the largest country in terms of the net saving and net capital outflow it is strange because China is the largest developing country it's still a developing country but the net capital outflow is the largest it's about 400 billion US dollars every year this means the net flow in terms of the net flow of financial resources China contributed 350 billion US dollars of course this also reflected the imbalance of the economic development what I want to say is that China is playing a very important role in the world economy and China is a very important part of the world economy and China is right in the center of the world market but we cannot overestimate the role of China because the United States and the EU together compose the largest economy in the world and the EU together is the largest economy in the world and even if we use the PPT indicator of IMF and the World Bank China accounts for only 16 or 17 percent so I don't think China alone can push the whole world out of crisis but it is true that in the past years China played a very important role and also together with other countries China played a very important role and made contributions to the world economic recovery another point I want to stress is that in the United States and the EU the short term fluctuation are unavoidable and it is understandable for them to have difficulties the United States unemployment rate is 9 percent if we count the farmers in rural areas then China's unemployment rate will be even higher because we use different criteria in collecting statistics I want to emphasize another point is our difficulties are not at the same level we cannot say that China can replace the United States and the EU in the world economy there is no such a possibility we have limited time for our discussion today but before opening the floor for Q&A finally I'd like to ask a question to Mr Wang and Professor Zhang one of you are talking about social issues another talk about economic issues Premier Wen Jiabao yesterday said that if inflation combined with corruption and bribery they will endanger social stability I believe for the Chinese population and for the international community they are concerned with inflation and corruption so I'd like to ask you to talk about this issue I'd like to ask Bo Min to answer this question I'd like to deviate a little bit just now we talk about responsibility I think the largest responsibility for China to the world is to change its own system to give more freedom to the Chinese people to build a society based on the rule of law if China cannot solve this problem from the perspective of common development for China and the world it would be a huge danger so we need to reform and we need to have institutional reform in 1982 and how the National Economic Restructuring Committee and the purpose is to replace the Economic Planning Commission and in 1993 the Economic Restructuring Committee was changed into the Economic Restructuring Office and then they were replaced by NDRC after the Economic Restructuring Committee was replaced by NDRC and the reform process in China has seriously slowed down so I think China need to deepen reform and to re-store a kind of organization similar with the Economic Restructuring Committee I'm not saying that the people from the Restructuring Committee are very smart but all of the reform plans by different government departments the ministry has to get the approval from the Restructuring Committee before they can get the approval of the highest government leaders but now the problem is different government ministries can have their reform plans and there is no organ which can debate with them or refute their reforms because I think a lot of government ministries and government departments are doing things against reform this is not a new idea I have been advocating this for many years I think China need to deepen reform and we need to re-store an organization which can charge the reform and restructuring and I think NDRC is too powerful this is not good for NDRC itself I think for Professor Zhang has given us an excellent idea and Mr. Wang is your turn I agree with Professor Zhang's idea because in the past the Restructuring Committee is a neutral organization it doesn't have any power so it can look at the development issue from a neutral perspective and now there is no such organization so each government ministry can come up with their own reform plans so where they say to decide what they think and now we are talking about corruption corruption and inflation for corruption as I mentioned just now this is related to the social transformation what is the root cause for corruption because they are power combined with money then there is corruption so the root cause is power a student, a young leader wants to develop a training class or training program and in order to get the approval he had to pay for the related authorities so I think in the future we need to transform the government functions so that the government will be a service-oriented government the government is not an approval-based government the government needs to separate those approval power that are not necessary so we can eliminate the root cause of corruption this is also related with my second point that is we need to have an effective social supervision system if power is not supervised it is not restrained then inevitably there will be corruption so the shift of the government function and the restraint of the power plus supervision these three combined together can to a large degree solve the problem of corruption I don't think corruption has any relations with inflation the four panelists has been very frank in interpreting China's 12th five-year plan and in talking about important challenges for China they talk about issues from different perspectives so now the floor is open for the audience of Q&A how much time do we have? we have only 10 minutes please identify yourself first to ask a question my name is Yoriko Kawaguchi I'm from Japan you talked a lot about reform which is very encouraging and which is very interesting to us now one area where you need reform is the relationship between the central government and local governments and you have not touched on this I don't know how much it says in the new five-year plan but I would like to get your views on how you are going to change the relationship for instance you need to move the base of tax money from the central government to the local governments so I would like to get your views on this Is there any specific person you would like to address this question to? Is there any specific person you would like to? Yes, from the national reform Mr. Zhang, the reform commissioner thank you I should say in China China is a very large developing country the central government and the local government all play a very important role as a matter of fact soon after the founding of the new China Mr. Chairman Mao have talked about the relationship between the central government and the local government I can say that during the past 30 years of the reform and opening up generally speaking based on research of the World Bank is that China is still a country that is gradually decentralizing that is to say the rights of the central government has been increasing which include the management of the local utilities and transportation and education as well so I think generally speaking we could say that under the guidance of the macro management policy of the nation the local, every local government set up their own plans in accordance with their own realities and situations and promote the socio-economic development locally and this point has also been demonstrated and pointed out in the 12-year plan that is to say in the different regions in China there should be different policies and for the central government it has and have already and will be continuing launching some policies in the 12-year plan for example during the past years we have launched out development policies for the western regions in China so as to support the development of the western regions in China and there has been very significant achievement during the past 10 years of development and also there is the policy of the re-juvanization of the east industrial basis et cetera so in terms of the relationship between the central government and the local government besides the decentralization another important is the reform of taxation after the taxation reform after 1994 we have been exploring ways we have launched different initiatives and incentive mechanisms to increase the taxation of the local government and every year we can see that the transfer payment through the transfer payment mechanism the local government have more physical capacity for the development of utilities and development area which needs financial support and I believe that this endeavor will be continuing in the 12-year plan thank you hello I'm from China reports my name is Sun Li I have two questions the first is that currently under the you can only ask one question because the time is limited please be short under the financial crisis this has been a very great shock for the SMEs so for the MBRC and for the banking sectors what measures they will adopt to support the development of SMEs thank you Mr. Guo could you please answer the question as a matter of fact the credit towards the SME has been increasing significantly for the last past three years this is mainly there are mainly two reasons the first reason is the under the requirement of the central government because central government has such the requirement of the increasing the credit for the SMEs and secondly the credits and loans for SMEs is also a very good opportunity for the banks because there are many financing channels for large enterprises and they have a strong negotiating powers so the interest rates for the loans to the SMEs could be much more larger so that the loans issued to the SMEs increase very rapidly I'm not talking about SMEs I'm only talking about small enterprises and loans to the small enterprises takes up half of the loans of our company for the loans of the SMEs it takes up 50% of our total loan and we direct it 20% in that 50% towards the small enterprises because we know that there are tens of thousands of small enterprises in the society and we will see much more credits and loans for SMEs thank you Mr. Zhang I think currently this is indeed a reality that the SMEs is hard to get credits and under the financial crisis and in particular the adjustment of the monetary system in China the credits number for general to August this year has been issued which is decreased which has been decreased when compared with that of last year so that the SMEs face more kinds of getting credits there are many aspects we should look at the first is the total value total volumes of the credit and secondly is the loan structure in terms of the total volumes in particular the structure we should not decrease the financing which is critical for the for the capital needs of the SMEs this is very important just as Xu Xin mentioned the big enterprise has many financing channels however for SMEs it's not true and many experts have just said we should further develop trust and finance institutions which is specifically targeted towards SMEs so I think these measures would better solve the financing issues facing the SMEs when we talk about these issues we should also identify the national state-owned enterprises as well as private enterprises some SMEs have difficulties it is also because there are private enterprises if all the SMEs have become national owned enterprises I think that they will become much easier to get finance okay this gentleman I'm from Taising magazine I would like to ask Mr. Guo and Governor Guo I think for the policies of the automobile and for real estate there has been a change in terms of from encouraging to wars restriction how do you what's your opinion on that I think for these two questions my personal opinion is that for real estate and for automobiles the general policies is not restriction oriented you can see the latest medical medicine policy in terms of the real estate it's pointed out that because of the price of the real estate it's too high so that a lot of population cannot buy the house so for medical management it is targeted towards the curbing increase of the price so that more customers more populations can buy the house I think that is the basic objective of the macro management policies in terms of the real estate in terms of automobile industry general speaking is not restriction oriented either currently in some cities for example in Beijing there's the number selection systems however in the home nation I do not see there's a trend in terms of the consumption of automobiles and I think that's along with the development of China's economy because the supply chain of the automobiles concerns a lot of the industries so we cannot restrict the development of automobiles and also the automobiles industry concerned about environmental protection and pollution etc so now the government policies oriented to low carbon and energy efficient oriented and priority is in appropriate use of automotive what is that? I would like to slide you an example the automobile number in Tokyo is much larger in Beijing however there's not a serious traffic jam in Tokyo because the government said that it is okay that you buy the automobile but during the work days you can take public transportation such as the metro and bus and during the weekends you can drive your own automobiles to visit your relatives and friends and go outside so I also think recently some policies that Beijing government adopted is also very effective the last question and I would like to add some comments just now you've mentioned that for the real estate industry and automotive industry they are the peeler industry in China and they will continue to be in the next few years and also these industries concerning the environmental sustainability and environmental protection we should only pay attention to that I think it is only situational approach that we adopt a restriction measure in these two industries we should further adopt pricing and taxation policies in these two industries because I think that in the long-term if you continue to restrict it will cause a lot of problems currently for the sustainable development I think the panelists have a very comprehensive and detailed answer to all your questions I now would like to apologize to those who do not have the opportunity to raise our questions and now please warmly applause for all our panelists and thank you very much for the excellent panel thank you