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to set up the demonstration area during the SCO summit held in Qingdao in June 2018.

China has made efforts in recent years to shift to a services and innovation-based economic growth pattern. The services sector accounted for 58.8 percent of the country's GDP growth in 2017 and the ratio has further risen in the first quarter of this year, according to the National Bureau of Statistics.

China began a massive reform of its military two years ago. It has included merging departments to optimize efficiency, and putting restrictions on commercial activities to safeguard security and prevent corruption.

China has accelerated its drive to develop Artificial Intelligence. The AIIA was established last October and is composed of hundreds of leading companies and institutes promoting the integration of AI resources.

China has long been bedeviled by officials using their expenses accounts to travel in the name of official visits, use work vehicles on personal errands, and enjoy luxurious receptions and accommodation.