Full text of Chinese Premier Wen Jiabao's speech at 2009 Summer Davos in Dalian

China's stimulus package seeks to coordinate the role of the government and the market and enable development and reform to advance in a mutually reinforcing way. The bulk of government funds will go into public services and serve as a guide for the flow of non-public funds. The structural tax cuts involving 550 billion yuan are aimed at raising corporate capacity to invest and people's ability to spend. The government-funded interest discount and tax tools are designed to encourage the restructuring, merger and reorganization of enterprises. And the cut in interest rate and the required reserve ratio has ensured reasonably adequate liquidity in the banking system. All the key reform measures that we have taken this year are intended to eliminate the institutional and structural barriers in the economy and strengthen the vitality and dynamism of economic growth.

China's stimulus package is designed to both sustain economic growth and improve people's livelihood. We give priority to projects affecting people's well-being in allocating public resources. We have introduced, on a trial basis, a new rural old-age insurance program in 10% of the counties across the country, with a total coverage of 90 million people. We are pressing ahead with comprehensive reform in the pharmaceutical and health care system. Within a period of three years, governments at all levels will invest an additional 850 billion yuan to make medical services more accessible and affordable for both urban and rural residents. The central government has set aside 42.9 billion yuan to provide medical insurance for all retirees of the closed or bankrupt state owned enterprises. We are taking all possible steps to expand employment, particularly jobs for college graduates and rural migrant workers. For the year of 2009, the central budget for education, medical and health care, social security, employment, government-subsidized housing and other programs related to people's well-being will be 29.4% higher than that of last year.