China is well positioned to achieve a solid start to the 15th Five-Year Plan (2026-30) despite lingering economic pressures, supported by stronger policy backing and the rapid development of artificial intelligence and continued efforts to boost domestic demand, said a Chinese political adviser.

"The first year of the 15th Five-Year Plan will face difficulties and pressure, but I am confident that the economic targets can be achieved," said Qi Xiangdong, a member of the 14th National Committee of the Chinese People's Political Consultative Conference and chairman of cybersecurity firm Qi-Anxin Technology Group. "There are very favorable factors supporting growth."

A key factor is the gradual strengthening of market confidence following a series of high-level policy signals and initiatives aimed at stabilizing expectations and encouraging private investment, Qi said in an exclusive interview with China Daily recently.

He pointed to a sequence of important policy meetings over the past year, including a high-profile symposium on the private economy held in February 2025, which he said helped significantly boost business confidence and entrepreneurial momentum.

Subsequent policy implementation by government departments has further reinforced these signals, he said, highlighting the introduction of the Private Economy Promotion Law and other supportive measures.

"These measures have laid a solid foundation for achieving the economic targets in 2026," Qi said.

Another major tailwind comes from the rapid advancement of AI. The smart tech boom has generated widespread enthusiasm among both established companies and startups, he said, as businesses explore how the technology can help overcome development bottlenecks and create new solutions for growth.

"This high-tech revolution can provide extremely powerful productivity at relatively low cost. It offers new solutions and new pathways for economic development."

Qi also expressed confidence in China in the global AI race, citing the country's vast market, large population and diverse application scenarios as major advantages.

"China and the United States leading global AI development has already become a clear trend," he said, adding that expanding real-world applications will help accelerate breakthroughs in key technologies.

According to this year's Government Work Report, building a robust domestic market will be among the major tasks for 2026.

As boosting domestic demand, particularly consumption, will remain a key policy priority this year, Qi noted that recent government initiatives aim to combine short-term stimulus with longer-term structural reforms.

Measures such as ultra-long-term special treasury bonds and trade-in programs for consumer goods — including smart devices, electric vehicles and home appliance trade-ins — have directly lowered purchasing costs and produced immediate stimulus effects, he said.

Qi said he believes there is room for further policy improvement, particularly on the demand side. Authorities could consider strengthening fiscal and tax reforms to increase household spending power.

Improving social security systems such as pensions, healthcare and education would also help reduce households' concerns about future expenses and encourage consumption, he added.

On the supply side, Qi said policymakers should focus on creating new consumption scenarios, improving services and sparking consumer enthusiasm. One key approach would be to accelerate the establishment of national-level application pilot programs and demonstration zones for frontier technologies such as AI.

Lyu Jinkai contributed to this story.