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By 2035, high-level process supervision will be mostly built to achieve free trade and investment, free cross-border capital flows, free and convenient transportation and access for people, and the safe and orderly flow of data.

But today all that has changed. The village, with its refurbished traditional wooden buildings, new roads and, most importantly, new and thriving local industries, has become a model for other less well-off places in China to follow.

But the RMB internationalization requires "high-quality" capital account convertibility, as well as changes to the cross-border investment regulations, wrote Huo Yingli, director of the PBOC's Macro Prudential Management Bureau, in an article.

But to achieve such a goal, Chen said Shanghai should deepen the integration of AI and related industries including high-end equipment, integrated circuits, biomedical, and automotive to establish a set of innovation centers for intelligent manufacturing and industrial internet.

But the technological gap was "monumentally huge", Wei said. China's CPUs could perform only at about 7 percent of the efficiency of their foreign counterparts, which also severely limited software developers' coding ability.