Prime Minister Candidate Wu Bangguo`s Economy Credentials in Doubt

China is expected to hold its 16th National People`s Congress from Nov. 8th. During this session, most of Chinese officials in charge of China`s economy will be replaced with new faces. But, experts worry that the candidates being considered generally have shallow experience in economy. Thus, in doubt is their ability to continue the ongoing efforts of China for the market economy and reform.

The Wall Street Journal published on Oct. 28th its evaluation of the candidates and pointed out, "The officials expected to take office lack the experience and understanding of economy in comparison of the incumbent. It could cause a serious problem, considering the status of Chinese economy in the world."

The contrast stands out even at the top level. Jiang Zemin and Zhu Rongji have spent most of their career in the economy- and industry-related fields, handling various economic issues including foreign investment. Zhu Rongji took charge of Shanghai`s development himself.

The Wall Street Journal reported, however, "None of the candidates for the next economy team has ever met a foreign businessman engaged in business activities in China."

Hu Jintao, who is the most promising candidate for the next president of China, is a person in veil to the eyes of Chinese entrepreneurs and foreign investors. He has almost no background in economy.

On the other hand, Wu Bangguo, one of the forerunners for the next prime minister, once took charge of reforming public corporations, but failed to bring about any positive results. Zhu Rongji has reportedly opposed the appointment of Wu Bangguo as Prime Minister, citing the lack of economic credentials of Wu.

Another Prime Minister candidate Wen Jiaboa seems to be a market-oriented reformer. He has stressed the importance of commercial farming. But he also has insufficient economy-related backgrounds other than that regarding the agriculture. In addition, he has almost no experience of handling foreign companies.

Ruipo Won, the incumbent Assistant Secretary of Trade and Commerce, is certain to be promoted to office of Secretary. He has studied two years at University of Montreal in Canada. But, his career as an official handling trade and commerce is just 6 months long.

The Wall Street Journal emphasized, "China has witnessed the typical problems of the market economy such as widening gap between the rich and the poor, rising unemployment rate and corruption. On the other hand, its legal system and institutions are far from accommodating the economic changes. China has to go a long way down the road. The new economic team of China should be able to demonstrate to the business circle and the world their ability to lead the market-oriented reform, thus building up trust in them."

Seung-Jin Kim sarafina@donga.com