Since 1949, the CCP has shaped the Chinese economy through the plenums of its Central Committee and national congresses and in 1953, the First Five-Year Plan began. The party plays a leading role in establishing the foundations and principles of Chinese communism, mapping strategies for economic development, setting growth targets, and launching reforms.

Planning is a key characteristic of the nominally socialist economies, and one plan established for the entire country normally contains detailed economic development guidelines for all its regions. In order to more accurately reflect China's transition from a Soviet-style command economy to a socialist market economy (socialism with Chinese characteristics), the plans since the 11th Five-Year Plan for 2006 to 2010 have been referred to in Chinese as "guidelines" instead of as "plans". China's Five-Year Plans have been praised for their efficiency, capabilities and their importance to rapid economic growth, development, corporate finance and industrial policies.