China aims to banish poverty to history

In rural China, an annual net income of 580 yuan (US$70) currently defines the official absolute poverty line. Those who earn less than this are the focus of an ongoing nationwide campaign under the auspices of the Poverty Alleviation and Development Office (PADO), which reports to the State Council, China's cabinet.

The country has vowed all citizens will be provided with enough food and clothing by 2000, which is now less than 1,000 days away.

In September 1996, at a national conference on poverty reduction, President Jiang Zemin said: "However arduous the task, our determination should not waver."

Since the late 1970s, China has managed to reduce the number of those living in poverty by three-fourths. Its share in the world total poverty population dropped from a quarter to less than one-twentieth. This is a remarkable feat, given the fact that China's population -- 1.2 billion -- has increased rapidly over the same period.

As the deadline approaches, the work becomes harder. By the end of last year, China still had 58 million people living below the poverty line. Over the past few years, China has lifted an average of 5 million people out of poverty. To meet its target, this must be about 1.6 times more effective until the end of the century.

China's poor live in its vast territory's most hostile environments; in arid regions, on dusty loess plateaus incised by deep ravines, and in high inaccessible mountainous areas, mainly in the country's southwestern, northwestern and central regions. Landscape and frequent natural disasters have combined to handicap the people's social and economic development in these areas, bogging them down in extreme poverty. Many of the people requiring assistance have net incomes of just 300 yuan ($37) a year.

Some poverty alleviation experts say that the new millennium deadline can be met. In socioeconomic terms, the country's national strength is growing as the social awareness of its people is heightening.

The state has vowed to increase funding for poverty alleviation. In 1996, of 10.8 billion yuan ($1.3 billion) allocated for this purpose, a little over 50 percent came from interest-free loans. More than 4 billion yuan will be added annually.

Local governments are also obliged to put aside money to use in poverty elimination in their own regions. If they fail to contribute between 30 percent and 50 percent of the sum provided by the central government, those sums will be cut accordingly.

At a conference in 1996, Premier Li Peng said: "However difficult local finances are, contributions to the poverty fund must be committed at the start of each year."

The central government is giving more priority to the approval of large and medium-sized projects in hinterland regions, where the majority of its poverty-stricken populace live. Of all the projects launched last year, 43.7 percent were located in the country's central and western regions.

Coastal-hinterland cooperation is encouraged to narrow the gap between affluence and poverty. In 1996, some 2,500 cooperative projects were signed, involving the transfer of 30 billion yuan in capital to township enterprises in central and western regions.

Last year, nine eastern provinces and a number of prosperous coastal cities were directly called on for more help. Each is being held responsible for assisting one western province or autonomous region. Beijing has been "twinned" with Inner Mongolia Autonomous Region, while Shanghai is assisting Yunnan Province.

To improve the management of poverty elimination work, the state now holds individual provincial governments responsible for the planning and implementation of initiatives. Formerly, decision-making power and responsibilities rested with PADO and similar offices at all levels.

"Every top official should go and spend several days in a number of impoverished villages before they make decisions concerning poverty alleviation," said President Jiang Zemin.

International cooperation is welcome and sought after. The first phase of World Bank assisted projects, launched at the end of 1995, involved a loan of $250 million, which was allocated to 35 counties in the southwest, aiding 3.5 million impoverished people.

According to a divisional chief of PADO, Liu Fuhe, the second phase of World Bank projects, involving $180 million in loans, has gained approval and will begin in 1998, with funds to be directed to Sichuan, Shaanxi and Ningxia. The initiative aims to lift 2.6 million people in 26 counties above the poverty line.

While international help is growing, all domestic social forces are being mobilized. Many state departments launched a variety of aid-the-poor campaigns. These include, the State Education Commission's Project of Eliminating Poverty by Promoting Education, the Ministry of Agriculture's Harvest Plan, and the State Commission of Science and Technology's Spark Plan.

Various nongovernmental institutions are also active, contributing to programs such as the Project Hope, which helps poor children complete their education.

In 1996, China succeeded in helping 7 million people out of poverty. "This year, we are confident of lifting 10 million people above the poverty line," said Liu Fuhe.