On December 18, China held a high-profile conference celebrating the 40th anniversary of the country's reform and opening-up.

President Xi Jinping's speech at the grand commemoration was both a milestone and a benchmark: a milestone in reflecting on all that China had accomplished in the past and a benchmark in addressing all that China still needs to accomplish in the new era. This division between what has been accomplished and what still needs to be accomplished was exemplified in the printed document of Xi's speech.

In Xi's telling, China's direction is clear and confident, encapsulated in nine major points, stressing confidence in China's "socialism with Chinese characteristics," the primacy of the Communist Party of China in all areas, putting people and their well-being and happiness first, and the need to implement further and deepen reforms.

President Xi stressed innovation as the driver of future reforms; innovation is the first of the major development concepts – innovation in science and technology, sure, but also innovation as a way of thinking applicable in all walks of business and society. Xi is the first Chinese leader to put innovation as the top national priority.

Sitting in the Great Hall of the People listening to Xi's speech, I was struck by the consistency of Xi's thought. When he said in the speech that “chanting slogans” was not sufficient, that hard work must be done and reform needs to be furthered, I smiled to myself, because in 2006, more than 12 years ago, then Zhejiang Party Secretary Xi Jinping told me, in a private, personal meeting, precisely the same thing.

When historians of the future write the chronicles of our times, a highlight is sure to be China's remarkable 40 years of reform and opening-up. What an amazing transformation it has been!

Once a backward economy and a closed society, China is now the world's second-largest economy, engaged openly with almost every country on earth, and involved in every matter of global importance: economics, business, science, technology, education, healthcare, environment, culture, diplomacy, and defense, and global infrastructure construction, battles against poverty at home and abroad.

President Xi's speech exemplified the accomplishments of the past and set the trajectory for the new era of the future.