'Development strategy'

Suan Teck Kin, executive director and head of research at Singapore's United Overseas Bank, said the "dual-circulation" growth pattern does not overly emphasize developing the domestic economy.

"The point is that you have the domestic part of your equation, and the other part of the equation is the interaction between the domestic and global economy, which is equally important," he said.

China will continue moving towards modernization, said Suan, who expects to see the country further open up its economy and advance its pursuit of renminbi internationalization. "The government and the Party are quite clear about this, and I think the direction is a correct one."

Veronika S. Saraswati, convener of the China Unit at the Centre for Strategic and International Studies, a think tank in Jakarta, referred to the dual-circulation model as "a great development strategy" and one that will be "successful".

She said the 14th Five-Year Plan has set an example for the rest of the world in terms of devising development and economic policies.

"Being able to put a focus on developing the domestic market also means that China has realized its goal of developing a xiaokang (moderately prosperous) society," Saraswati said. "Without achieving xiaokang, there will not be a strong domestic market (to support dual circulation)."

Noting that China is a key part of the global value chain and an important economic partner for Southeast Asian countries, she said the economic recovery of China in the post-pandemic era will have a great impact on regional economies.

As dual circulation also emphasizes opening-up, Saraswati said she hopes to see more investment from China in Southeast Asian countries, including Indonesia.