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Speech on the Eleventh International Meeting of Communist and Workers' Parties

Mr. Chairman, fellow delegates:

It's an honor for me and my colleges to be delegated by the International Department of the Central Committee of the Communist Party of China to attend this gathering of the International Meeting of Communist and Workers' Parties.

First of all, allow me to convey to you the warm greetings and best wishes of our minister Wang Jiarui and his deputies in the department. This IMCWP is an important platform for communist parties across the world to share information, exchange ideas and hold discussion on certain issues. So far, 10 conferences have been held successfully and today, we are gathered here in New Delhi to witness the opening of the eleventh IMCWP conference.

Secondly, I would like to take this opportunity to brief you on new development in China and recent endeavors of » the CPC. The financial crisis originated from the United States last year has seriously affected the economy and the livelihood of countries in the world. Due to the bad impact of the crisis, the year 2009 has been the most difficult year for China's economic development since the beginning of this century. In order to deal with this crisis and maintain the steady and rapid economic growth, the CPC and the Chinese government timely adjusted the macroeconomic policies by adopting a proactive fiscal policy and a moderately relaxed monetary policy, and formulated a package plan to expand domestic—demand and promote growth. A two-year investment plan with a total amount of 4 trillion Yuan is implemented involving greatly increased government spending to boost domestic demand and improve people's livelihood. Structural tax relief policies were put in place bringing about several interest rate cuts to allow liquidity of the banking system and to stabilize external demand. A wide-ranging industrial restructuring and rejuvenation program was initiated to encourage innovation and enhance energy conservation, emission reduction and environment protection. Great efforts have been made to expand domestic market, especially the rural market, stabilize agricultural development and increase farmers' income. Effective measures have been taken to reform the social security system to ensure access to basic medical service, free compulsory education as well as affordable housing for urban and rural residents so that they can be free of worries.

Now, these measures have taken initial effects and have produced some positive signs. From January to September, our GDP grew by 7.7%, volume of retail sales increased by 15.1%, state revenue grew by 5.3% while consumer price —index dropped by 1.1%. These data show that our domestic consumption is robust, demand for investment is increasing steadily, the society on the whole is stable and the overall economic situation is about to turn for the better. These countermeasures China has taken against the crisis have not only worked positively on China's economy, but will also serve as a boon to the economy of the region and that of world at large.

This year marks the 60th anniversary of the founding of newXhina. In the past sixty years, the Communist Party of China and the Chinese people under its leadership have achieved glorious accomplishments that have attracted world attention: China's economic and overall strength have been greatly enhanced and China has become the third largest economy in the world with a trade volume ranking also the third. The livelihood in China has been markedly improved with per capita GDP increased from 35 dollars in 1949 to 3266 dollars in 2008 and life expectancy extended from 35 to 73 years. Moral and ethical standard of the Chinese society has been uplifted. A socialist legal system with Chinese characteristics has taken shape; constant effort has been made to promote the rule of law and to improve the overall cultural integrity of our people. The relationship between China and the world has undergone historic changes, whereby the world is paying more and more attention to China. The fate of China and the fate of the world are ever more closely linked together.

Experience in the last sixty years shows that throughout the primary stage of socialism, we must always take economic development as the central task, take reform and opening up as the driving force to promote all round economic, political, cultural and social development and cultivate a sense of conservation among the general public. We must push forward economic and political reform and reform in other areas to motivate the entire population for greater enthusiasm, initiative and creativity so as to realize social equity and justice and fill the country with vitality. We must carry forward socialist democracy, improve the socialist legal system, stick to the rule of law and guarantee the lasting stability of the country. We must enhance and improve party building, carry out in-depth anti-corruption campaign and bond the party and the people closer together.

Some parties, due to lack of knowledge about the national conditions of China, think that China has given up Marxism and has deviated from the socialist path, and some even call China's system "authoritarian capitalism". But these accuses are not true. As you all know, China is a large oriental country with relatively backward economy and culture. China is and will be for a long time to come remain at the primary stage of socialism. There are no references in the classics on how to carry forward Marxism and develop socialism with our special national conditions. The CPC has always upheld Marxism as our fundamental guiding ideology, insisted in adapting the basic tenets of Marxism to Chinese conditions and the features of the times and tried to explore a new road for building socialism. CPC leaders of successive generations have pooled wisdom of the whole party, drawn upon the experiences and lessons of other countries and established a system of theories of socialism with Chinese characteristics. In the way of exploration, the CPC as the ruling party must learn from all the excellent achievements of human civilization including means and management systems which can reflect the laws governing modern social production such as the capitalist market economic system. However, this doesn't mean that we are pursuing capitalism, let alone changing into it. On the contrary, our purpose is to improve, consolidate and develop socialism. I am convinced that the unremitting exploration of the Chinese communists, their success in building a stronger China can not only help enrich and develop Marxism, but also encourage and inspire communists across the world to stick to socialism. This, I believe, will be a great contribution to international socialist movement.

Last September, the Fourth Plenary Session of the 17th CPC Central Committee was held, where the "Decision of the Central Committee of the Communist Party of China on Strengthening and Improving the Party Building" was adopted and concrete measures were planned out for party building endeavors in the new period. The main ideas of this document are as follow:

1. The importance of party building under the new situation

Having been at the reign of the government for 60 years, the Communist Party of China is proved to be the key to every success made in the country and its leading position must be upheld unswervingly. In a world that is undergoing great development, great transformation and adjustment, China now is faced with a series of new circumstances and new problems. The CPC shoulders huge, complex and heavy tasks in pressing ahead reform and opening up and socialist modernization drive. Therefore, it is imperative for the party to be vigilant of challenges lying ahead, be courageous to blaze new trails and make relentless efforts in self-improvement.

2. Basic lessons for party building

Ideological and theoretical building must be put in the first place to enable the entire membership to have a better command of the essence of Marxisms Party building endeavors must be integrated with the ultimate mission of the party so as to guarantee its core leadership in socialist development. We must focus our effort on strengthening the Party's governance capability and maintaining its vanguard nature so that the CPC is always at the forefront of the times. We must always bear in mind that the CPC is meant to serve public interests and is mandated to exercise state power for the people, and it must maintain close ties with the populace. What's more, the party must embrace new ideas and new practices in order to enhance dynamism.

Last but not least, the party must exercise self-discipline, be strict with its members and improve management of party affairs.

3. Future tasks of party building in the new period

The CPC will build itself into learning-oriented Marxist party and raise the ideological and political consciousness of it. We must improve democratic centralism and expand intra-party democracy. We must also deepen reform of the personnel system and build a contingent of high-caliber cadres who are more competent in promoting scientific development and social harmony. What's more, doubled efforts must be made to reinforce primary party organizations to consolidate the organizational foundation of the party. Meanwhile, it's also imperative for the party to carry forward its good style of work and maintain close ties with the people. We must accelerate the building of corruption punishment and prevention system and intensify the fight against corruption. Thirdly, I'd like to share with you some of my personal view inspired by the theme of this meeting. At present, the global financial crisis has not bottomed yet and there are still many potential risks in the world economy. Many politicians and scholars have done extensive studies on the crisis and provided many valuable views. Here are my own perceptions of the cause behind this crisis and its impact on global capitalism.

Many people put the blame of this global financial and economic crisis triggered by the sub-prime mortgage crisis in the U.S. on "the rampant speculation in the financial market", "vicious competition" or "excessive lending" and are expecting to tide over the crisis and achieve recovery by "regulating" capitalism. In my opinion, this crisis is no different from other ones in history which were caused by inherent contradictiorToT capitalism. Such crises can not be eradicated and will recur periodically as long as the private ownership of capitalism and the inherent contradiction remain unchanged. That is why we have witnessed the repeated cycle of crisis-relief-crisis in the development of capitalism. The temporary prosperity at certain times is in fact the presage of another crisis. This ongoing crisis is but another testimony— Carl Marx is right in his judgment of capitalist economic cycle and that the capitalist mode of production is doomed to failure.

But can we rush to the conclusion that capitalism will die in this crisis? My answer is "no". What-we can say is that this crisis will accelerate the transition of capitalism to socialism. This is because that since the mid-20th century, with new scientific and technological revolution and the self-adjustment of capitalism, coupled with economic booming followed by capital expansion, the capitalist world has experienced a relatively stable and prosperous period. In the past 360 years after the English Bourgeois Revolution, the capitalist world has accumulated much experience in handling their crises. At present, tfrere is still room for growth in capitalist productivity and the self-adjustment capacity of-eapitalist mode of production has not been exhausted. The inherent contradiction of capitalism is represented in complex forms of motion which can be radical at one time and mild at another. As a result, it! will take a long time for socialism to replace capitalism. This was also embedded in Marxist thought: "no social order ever disappears before all the productive forces, for which there is room in it, have been developed; and new higher relations of production never appear before the material conditions of their existence have matured in the womb of the old society". A correct understanding of and response to the development of capitalism can help us obtain a scientific view of the reality and adopt right policies. I think that given — the current balance of power, capitalism will remain more powerful than socialism for a certain period to come and that socialist countries should deal with capitalist countries with both struggle and cooperation to sharpen our horn and broaden our room for survival.

Finally, I wish this conference a complete success.

Thank you!