Mr. Denis Mitole, Chairman of the Organization Committee,

Winners of the 4th Diversity Leader Awards,

Dear Friends and Distinguished Guests Present,

Ladies and Gentlemen,

Good evening!

It is my great honor to be invited to deliver a speech on such a great occasion. But I am very sorry that I cannot honor my commitment to join you personally due to an urgent official business out of Malawi, which is out of personal control. And Mr. Denis did not allow me to take a leave and challenged me to brief you on how China successfully transforms from poverty to prosperity, and how the same could be done for Malawi through a video as a substitute. I did not hesitate to accept it because it is really a good idea. So I would like to say thank you so much, Mr. Denis and your working team for your kindness to give me such a great honor and privilege.

I would also like to take this opportunity to express my sincere and warmest congratulations to all the winners of the 4th Diversity Leader Awards. You are exactly the forerunners and pioneers from different sectors of Malawian society. It is your wonderful performances and great successes to drive this country and nation moving towards prosperity.

Now let me brief you about China’s development and economic revolution in the recent 30 years. This year marks the 30th Anniversary of China’s reform and opening up to the outside world, which is the most important revolution the Chinese people have been undertaking since 1978. It is my sincere hope that my humble remarks could stimulate you some ideas on how to develop a poor country like China.

China is the largest developing country in the world with 56 nationalities and more than 1.32 billion population. China is also the third largest country in the world with a total national territory of 9.6 million square kilometers locating in the far east. In ancient time, China has made great contributions to the human progress, but when history came into the modern times, the self-closeness of the feudal monarchy of China gradually made China fell into poverty and backwardness.

To seek for the correct answers to two questions on where for China and the Chinese people to get developed and stronger and how to get there, generations by generations of the Chinese people, especially the Chinese democratic pioneers had struggled hard and sacrificed themselves. It is until 1949, under the correct leadership of the Communist Party of China, the Chinese people founded the People’s Republic of China and have been embarking on the great drive of national rejuvenation. But the new China remained poor due to her weak economic foundation and the political blockade by the western powers.

It is until 1978, thanks to Mr. Deng Xiaoping’s initiative and under his leadership, the Chinese people set foot on the historic journey of reform and opening up. At the very beginning, the Chinese government set up only four Special Economic Zones in the coastal areas for China to introduce market economic mechanism from the west and practice there and get to know English and international rules and to educate the Chinese people this is the way for us to go, to Pull the people to follow it. The successful practices in four Special Economic Zones did educate the Chinese people that economic reforms and opening up to the outside world is in the best interest of the nation and people of China, and encourage the government to confirm and strengthen its commitments to adopting the policy of economic reforms and opening up as a state policy and reach the national consensus. Since then on, economic development has become the top agenda and central task of the Chinese government and people.

Through three decades’ reform and opening up, China has achieved sustainable, rapid and comprehensive development economically, politically and socially, and realized the transformation from closeness to openness, from poverty to prosperity, and from nowhere to somewhere in the world.

The GDP of China has grown from 140 billion US dollar in 1978 to 3.28 trillion US dollars in 2007 with an annual average growth rate of 9.88%. China has jumped to the fourth largest economy in the world in 2007 from the tenth in 1978 in terms of GDP. The over 1.32 billion Chinese people, who once lacked adequate food and clothing, are now enjoying a moderately well-off life, and the per capita income has increased from 190 US dollars in 1978 to 2360 US dollars in 2007. The rural population who lives in abject poverty has dropped from 250 million in 1978 to around 15 million now. The total trade volume amounted to 2.17 trillion US dollar in 2007 from 20.6 billion US dollar in 1978, ranking the third in the world. The foreign reserve has increased to over 1.9 trillion US dollars by now from 167 million US dollars in 1978, ranking the first in the world.

With rapid economic development, China has made more and more important contributions to the world economic development. In 2007, the Chinese economy contributed more than 10% to the world economic growth, and over 12% to the international trade growth. The large amount of foreign reserve has provided a solid foundation for China to counter the influence of the recent global financial crisis and make her due contributions to stabilizing international financial market.

On the other hand, we are also keenly aware that China is the largest developing country with a huge population and weak economic foundation, its per capita GDP is just a little over 2600 US dollars ranking behind 100 countries worldwide. We still have about 40 million people living under poverty. Indeed, China is still facing an arduous task and challenges of long term development.

Mr. Chairman, Ladies and Gentlemen,

While the friends are talking about the modernized infrastructures and high buildings in China, but in my view, the most important achievements we have made in China and the reason for me to be proud of my motherland is both the government and people of over 1.32 billions with 56 nationalities have shared the national consensus on where for China to go and how to get there. Nowadays, when you ask the Chinese people where for China to go, they will answer you very clearly and definitely that to maintain stability and focus on economic development towards the rejuvenation of the Chinese nation is the only way for China to go forward. When you ask how to get there, the answer is very simple and clear that keep reforming ourselves and opening up to the outside world. The answers to the two fundamental questions have become the common choice of the Chinese people. Now, it’s the people to push the government to go forward in the correct direction instead of pulling the people to follow the government. This is the most substantial and fundamental progress achieved in China and has become the solid foundation for China to be further developed.

As you know that to run and develop a country is just like to sail a vessel in the ocean. You can imagine what will happen when such a huge country with large population sitting in one vessel and pushing in one direction. This is why such a big vessel of China has been sailing steadily and rapidly towards the bright future.

Indeed, China is not a developed country and will never be a superpower, but it is a very promising country in the world. China has been embarking on the correct path of peaceful development. We need time and peaceful environments to develop ourselves and will make more contributions to the maintenance of world peace and promotion of common prosperity of mankind.

Mr. Chairman, Ladies and Gentlemen,

The successful practice and experience in China has shown us that it is very possible for every country in the world to be developed if they have the national consensus on where to go and how to get there.

Malawi is a God blessed country. You have abundant natural resources such as mineral resources and timber, beautiful lake, fertile lands and abundant water resource for growing maize, rice, sugarcane, tobacco, cotton and coffee, and also have diligent and hard-working people. The potential for the development is so huge. But on the other hand, we also understand well that Malawi is a landlocked country with very weak economic foundation and poor infrastructure. The cost of production and construction here is much higher than the coastal countries in the region. The implementation of the Free Trade Area of COMESA or SADC will not only bring Malawi more opportunities, but also more challenges at the same time. You are facing challenging tasks to develop yourselves.

To develop this country, to create more jobs, more revenue and foreign reserve and enrich the people, you need capital input, new technologies and advanced management concept to increase more production and improve productivity and efficiency. But Business is business. Who will give you so much what you need? How can you get those you need? In our experience, it is only the investments from private sectors domestically or internationally that will bring you what you need.

But how to attract investors to settle down here. There is a saying in China that before attracting the flying birds to settle down, you have to build the nests for them. That means you have to improve your environments before you attract the investors to come. They need incentive policies to ensure their profit is here. At the same time, they need sound laws and regulations to ensure that their legal interest and profit here are well protected.

Today, we are very happy to see that Malawi has a good and visionary leadership, who knows well where for Malawi to go. Under the correct leadership of H.E. Dr. Bingu wa Mutharika, Malawi has witnessed rapid economic development in recent three years, with an annual average growth rate of more than 7%, and exceptionally achieved the food surplus, which has won Malawi a very new image and high reputation in the world. The successful practice here shows us that it is very possible for Malawian government and people to have economy revolutionized with great success, if you are committed and united and share national consensus on where to go and how to get there.

As H.E. President Mutharika says, Malawi is not poor, but the people are poor. Remaining poor is not in the best interest of the nation and people of Malawi. So now it is the time for Malawian government and people to reach a national consensus on where for Malawi to go and how to get there.

In my view, the vision of H.E. President Mutharika to transform Malawi from a consuming and importing country to producing and exporting one is good enough to develop this country. The challenges facing this country now are that how the government works out the policies to implement the vision and the people share the vision and transform the vision into action and reality. I am very sure that the Malawian people are so intelligent and smart enough to understand how to develop this country is in the best interest of themselves and the nation as well. And I just want to ensure you that China will be a reliable development partner in the transformation process from poverty to prosperity of Malawi.

Mr. Chairman, Ladies and Gentlemen,

This year can also be seen as a revolution in the relations between China and Malawi. The wise and resolute decision to normalize the state –to-state relations between Malawi and China made by H.E. President Mutharika should be highly appreciated, which has opened the gate for the friendly and mutually beneficial cooperation between our two countries. Agriculture, health and medical care, education and human resources development and infrastructure construction are the four pillars and top agendas of the bilateral cooperation between our two countries.

Now, China has already become one of the most important

development partners of Malawi. The first phase construction of Karonga-Chitipa road has already been undertaken. The construction of the Parliamentary building complex is about to be commenced. The Chinese government has also promised to help Malawian side build a five star hotel together with an international conference center and a stadium in Lilongwi. All these four projects are the landmark projects, which will build up a new image of Malawi, but will cost China more than 230 million US dollar either by grant or concessionary loan. And I would like to ensure you that the above commitments will not be negatively affected by the recent global financial turmoil.

Moreover, China has decided to donate a batch of fertilizer values at 1 million US dollars to support the efforts of Malawian government and people to achieve food security. This year, China has provided 30 full scholarships to Malawi, and paid for more than 150 officials, experts, professional personnel and media journalists from Malawi to China for the seminars or training programs covering various fields. The first group of the Chinese medical team consisting of 7 members has been offering medical services to the local people in Mzuzu Central Hospital, and another group of the Chinese medical team is expected to come to Lilongwi Central Hospital before the end of this year.

More importantly, the Chinese government has been committed to helping Malawi realize self-sustainable economic development. The economic and trade cooperation between Malawi and China is so complementary as China has successful development experience, investment capitals, practical technologies and a vast market of over 1.32 billion population. The potential for the bilateral cooperation is so great.

In order to encourage more investments to Malawi and promote more products from Malawi to China, the Chinese government has offered Special Tariff Treatment for more than 430 items of products originally made in Malawi to enjoy free tariff when exporting to China. According to the Chinese statistics, this year from January to September, the total trade volume between Malawi and China has reached over 59 million US dollars, which has grown 120% compared to the same period last year. The export volume from Malawi to China has reached over 4 million US dollar, with a growth rate of 656% compared to the same period last year. Besides these, China has purchased 2850 metric tons of tobacco valued at 18.58 million US dollar, which is far over the promise of the Chinese side to buy 2000 metric tons of tobacco this year.

To follow the call made by H.E. President Mutharika and with the strong supports from both our two governments and peoples, one of the Chinese investors has decided to invest 25 million US dollars in cotton plantation and processing industry in Malawi this year. The project has already been taken-off in Balaka, which will create about 1000 jobs for the local people and benefit more than 50,000 farmers in the area from Balaka to Nsanje. And more and more Chinese investors are coming to Malawi to look for their investment opportunities.

Mr. Chairman, Ladies and Gentlemen,

The facts has proved that the relationship between China and Malawi is beneficial to the people and conducive to the national development of Malawi. In short, it conforms to the fundamental interest of the our two countries and two peoples. As a reliable development partner, China will continue to help Malawi in its efforts to achieve self-sustainable development within our best capacities and strengthen our all-round cooperation, especially in the areas of agriculture, health and medical care, education and human resources development and infrastructure construction. I strongly believe that with the concerted efforts from both sides, the friendly relationship of mutually beneficial cooperation between China and Malawi will be further strengthened and continuously yielding more fruits, the peoples of our two countries will become good friends, good partners, and good brothers for good.

Thank you for your attention!