"Lianghui" Opens

(Caixin Online) In early March, the annual Chinese People's Political Consultative Conference (CPPCC) opened in Beijing and National People's Congress (NPC) will start on March 5. Together these two conferences are called, "Lianghui." Legislators from across China have gathered in the capital, causing more congestion than usual in passages of vehicles and proposals alike. 

In a few days, legislators will read bulky government budgets, review a comprehensive report submitted by Premier Wen Jiabao, hold various discussions and issue their suggestions. Topics of heightened popular interest include policies on real estate prices and affordable housing, as well as the adjustment of China's economic structure for balanced and sustainable growth. Some of the more unconventional policy suggestions include proposals to require spousal compensation for domestic labor and the abolition of internet cafes in China.

A joint editorial by 13 newspapers published prior to the conferences called for an end to the residence registration system (hukou), which hinders labor mobility and creates unequal access to opportunities between rural and city dwellers.   
 
Some government budgets have been made public. For instance, China's 2010 defense budget has been set at 532 billion yuan, 6.3 percent of this year's total budget expenditure, according to Li Zhaoxing, spokesman of this year's National People's Congress.

Li said the defense budget is 7.5 percent higher than last year, but its growth rate was slower compared to recent years.

Despite the growth, Li said the budget, about 1.4 percent of China's GDP, is still small in scale compared with many other countries. Annual U.S. defense expenditures are more than 4 percent of its GDP and the UK and France exceed 2 percent.

The budget is subject to approval by the congress.

(Translated by LX)