The Communist Party of China (CPC) must adhere to and improve the socialist system with Chinese characteristics, Chinese President Hu Jintao said on Friday. [More about Hu's speech]

"The path of socialism with Chinese characteristics is the only way for China to achieve socialist modernization and create decent lives for its people," Hu, also the general secretary of the CPC Central Committee, said at a grand gathering marking the 90th founding anniversary of the CPC.

It's a path that is under the leadership of the CPC, pursues economic development as the central task, and is committed to the policy of reform and opening-up, among other things, he said.

Hu said that the socialist system with Chinese characteristics is a fundamental institutional guarantee for development and progress of the contemporary China.

In developing the socialist system, the CPC has put in place a complete set of integrated, interconnected systems in the economic, political, cultural and social fields, he said.

These systems and institutions are compatible with China's reality and conform to the trend of the times, which keeps the Party and country in full vitality and fully taps into the enthusiasm, initiative and creativity of the people and all sectors of society, he said.

Moreover, Hu said that CPC must uphold and enrich the system of theories of socialism with Chinese characteristics.

He said the system guides the Party and people in realizing the great rejuvenation of the Chinese nation as they advance along the path of socialism with Chinese characteristics.

The system answers how to develop socialism and the Party in China, a country with a population of over one billion, Hu added.

What started as a humble group of over 50 idealistic Chinese in Shanghai in 1921 has swollen into an 80-million-strong political party,ruling over the world's most populous country.

After nine decades, China has become the world's second-largest economy under CPC leadership. With foreign exchange reserves totaling 3 trillion U.S. dollars, China has become the largest creditor of the United States. China also boasts the world's largest banking, petroleum and telecommunications companies by market value.