Explainer: How China plans to normalize poverty prevention in 2026

Five years after declaring a complete victory over absolute poverty, China is now setting course to normalize its poverty-prevention efforts. The "No. 1 central document" for 2026 provides a systematic framework for the country’s continued efforts to prevent a relapse into poverty, alongside its traditional focus on agricultural and rural issues.

What's unchanged and what's different in this year's 'No.1 central document'?

This year's No. 1 Central Document maintained its fundamental, traditional focus on agriculture, rural areas, and farmers, said Hu Xiangdong, director of the Institute of Agricultural Economics and Development at the Chinese Academy of Agricultural Sciences.

These three focuses, also known as the "three rural issues," remain the top priority, as the development of agriculture and rural areas is the main theme of the government’s work. Core objectives such as boosting farmers' incomes and ensuring food security remain crucial.

Overall, the guiding principle for this year's "three rural" work is to maintain the tradition of "stability in the big picture, with adjustments in details," Hu explained.

The focus on a more systematic, structured framework for supporting rural development is a new feature of this year’s document, Hu noted. The government’s efforts for "three rural" work have become increasingly systematic, particularly in food security and income growth for farmers, as well as in poverty alleviation.

The document also highlights the importance of regionally tailored planning and implementing policies and strategies according to local conditions. This suggests a more precise policy direction, allowing different regions to better leverage their unique local resources and strengths to carry out their respective agricultural and rural tasks.

Regularized, targeted assistance and 'development-oriented poverty alleviation’

Regions that have lifted themselves out of poverty often still face constraints, such as weak infrastructure, limited human capital, and fragile industrial bases, Hu said. Regularized assistance focuses on enhancing the endogenous growth momentum for self-sustainable development.

By strengthening industrial support and improving local capacities, we can drive up local employment and boost incomes, Hu added.

“Development-oriented poverty alleviation” has been the guiding principle of China’s poverty alleviation efforts since the 1980s. Unlike providing direct subsidies to the impoverished, the policy focuses on fostering long-term economic development of communities in need. This year’s document outlines a transition toward a normalized, systematic support framework designed to prevent large-scale poverty relapse.

Steady income growth for farmers, increased earnings and reduced spending

The "thickness" of farmers' wallets is always a crucial metric for evaluating the effectiveness of rural development. In recent years, farmers' incomes have grown steadily, and the income gap between urban and rural residents has continued to narrow.

In 2025, the per capita disposable income of rural residents reached 24,456 yuan (about $3,539.86), up 6 percent from the previous year. The income ratio between urban and rural residents narrowed from 2.56 to 1 in 2020 to 2.31 to 1. Data released by the State Council of China in February showed that the growth rate of per capita disposable income in counties out of poverty continued to outpace the national average. Furthermore, the employment scale of the population lifted out of poverty has remained stable at over 30 million people for five consecutive years.

However, the current prices of some agricultural products remain low, and off-farm workers in urban areas are facing increased pressure to secure stable employment. For rural farmers and urbanized, off-farm workers, enriching their wallets requires regularized policy assistance.

The central document proposes a synergized policy suite on pricing, subsidies, and insurance to protect farmers’ incentives to grow crops. The document outlined strategies to set minimum purchase prices, strengthen existing subsidies, and reduce the county-level share of agricultural insurance premium subsidies in major grain-producing counties.

E-commerce addresses the mismatch between production and sales, especially for niche "local specialties," Hu said. Some products often struggle to enter large-scale distribution markets due to their small scale. E-commerce serves as a crucial supplement, helping premium products reach consumers directly, thereby increasing farmers' income and addressing marketing bottlenecks.

The central document also provides guidance for securing the income of urbanized off-farm workers. “We need a two-pronged approach: increasing income and reducing expenditures," said Hu. This process creates a self-reinforcing upward spiral by prioritizing sustained skill development, empowering individuals to secure higher-quality employment, and ensuring equal access to urban public services, fostering a genuine sense of belonging within the community.