The outline of the 15th Five-Year Plan (2026-2030) introduces a strategy to integrate investment in physical assets with investment in people. But what do these two concepts actually mean?
According to Guo Lanfeng, president of the China Society of Economic Reform, who recently hosted People's Daily's "Stories of High-Quality Development," investing in physical assets involves channeling funds into infrastructure, equipment, factories and industrial parks. This includes roads, bridges, buildings and equipment. By contrast, investing in people means directing resources toward individuals themselves. This encompasses employment, health, education, social security, elderly care, child care, personal development and cultural enrichment. It is not just about handing out money or subsidies; it is about investing in people's capabilities, potential and all-round development.
He believes that investment in physical assets will continue but it must shift focus. Investment in physical assets must be matched with human capacity building to avoid situations where "equipment waits for people" or "people wait for equipment." Such investment should align with people's needs, ensuring that it is always centered on improving people's well-being and empowering human development.
How should we invest in people so that development becomes more caring and more sustainable? The answer lies in three stories.
Empowering small businesses for job stability: Helping primary-level businesses thrive
It took Xu Xiaoyan, owner of Doudou Grocery Store in Xixingjiazhuang village, Zhengding county, north China's Hebei Province, 24 years to transform from a street vendor into a professional manager. She said that in the past, her store was cluttered and disorganized, leaving her busy all day yet earning meager profits. She felt very anxious until her business finally took a turn for the better after taking advantage of the Tongfu Gongxiang platform.
Through the platform, Tongfu Group provides comprehensive support for Xu, facilitating upgrades by optimizing store layouts, building a community chat group, launching livestreaming, and conducting skills training. These targeted measures led to the transformation of the store. It has grown from 300 to 500 square meters, with daily revenue rising to around 14,000 yuan ($2,000). It has also provided jobs for over 10 local mothers and villagers.
"Hebei Province is actively promoting county-level commercial development, focusing on people-oriented investment policies and empowering small shops at the grassroots level to stabilize employment, boost consumption and improve livelihoods," said Zhao Lin, account manager for the Shijiazhuang region at Tongfu Gongxiang Group. Tongfu Group has responded to this call by leveraging the Tongfu Gongxiang platform to implement three key measures: centralized procurement and direct supply, digital empowerment, and comprehensive community services. These measures help small stores lower the cost, improve capabilities and increase incomes. They also create a government-enterprise collaborative system to empower local stores.
"Having someone who's truly willing to invest in you — help you build skills and find your way — is more effective than simply giving you money or things," Xu said. Her remarks reflect the sentiment of countless grassroots entrepreneurs. Feeling secure, Xu is full of confidence about the future.
Guo said that this is a vivid illustration of how investing in people takes root at the grassroots level: the combined forces of government guidance, enterprise support, social participation, and individual efforts make "small shops thriving and employment stable" a reality.
Senior and child care services fuel thriving industries: Turning livelihood pain points to growth drivers
In Changzhou, east China's Jiangsu Province, a community center called Mudan Quanlinghui is quietly helping many families address the challenge of caring for both the elderly and children. Here, elderly care is provided upstairs, and child care is available downstairs. A full range of facilities, including a community canteen, ensures that both the elderly and children are well taken care of.
Ms. Yang, 89, took the initiative to move here. She said, "I love kids. They are lively and vibrant." The children learn about love and respect from interaction with the elderly. This intergenerational integration is not just an innovation in space use, but also a whole-life-cycle approach to care for people.
Behind the project is a coordination mechanism featuring government support, enterprise operation and social participation. According to Zeng Yi, director of the Livelihood Security Service Center of Xinbei district, Mudan Quanlinghui has revitalized 9,800 square meters of unused community space and built smart senior care facilities. Using this center as a model, Changzhou is accelerating the development of a silver economy industrial cluster, striving to turn livelihood pain points into industrial growth opportunities.
When the social safety net is stronger, consumption potential is fully unlocked, and new industries naturally emerge, Guo said.
Talent attraction initiatives nurture strong momentum in innovation: From population dividend to talent dividend
In Xicheng district, Beijing, the Xicheng Plan is building a talent hub backed by a 100 million yuan ($14.67 million) special fund, a systematic policy framework, and full-chain services.
He Xiaochuan, vice president of Qi An Xin Technology Group Inc., is one of the beneficiaries of the project.
"Xicheng has provided steady and reliable policy support, from the '10 policies for sci-tech innovation' and the '10 policies for fintech development' in the early days to today's Xicheng Plan. They have helped us tackle many development challenges," said He, adding that Xicheng supports them not only with funding and services, but also by creating an environment where they can focus on their work and innovate freely.
In addition to policy support, Xicheng district has actively built platforms to nurture talent. According to Yong Yanjia, chief of the First Section of Talent Work at the Organization Department of the Communist Party of China Xicheng District Committee, the district has established the Xicheng Talent Hub, a one-stop venue for talent services and exchanges, achievement showcases, and event coordination. It has also partnered with 31 universities, including Peking University and Tsinghua University, to establish the Beijing Xicheng District Universities Development Alliance.
The district has launched the "Central-Local-University Partnership Program" with companies and institutions to promote connections between laboratories and production lines. It also brings experts and professionals into primary and secondary school classrooms, creating a full-cycle training model in which students are nurtured in universities, trained in enterprises, and supported by the local authorities. In the past two years, over 240 professionals have been recognized under this program.
"Upholding the philosophy of investing in people, we continue to cultivate and strengthen high-quality enterprises in this region, providing solid intellectual support to drive high-quality regional development because we firmly believe that every penny invested in talent will translate into innovation achievements, job opportunities and growth drivers," Yong said.
"When a strong talent base is established, it will support innovation and power development," Guo said. "The leap from a demographic dividend to a talent dividend depends on channeling the best resources into people's development and dreams."