It looms clear that the
currently downward economic situation is also challenging the think tank
system
in China. In recent days, hence, many have been expecting China's think tanks
to
kick off a radical change. A top level think tank, established last month
following the instructions of Premier Wen Jiabao, is believed to be a pioneer
for think tanks' transformation in China.
In contrast to those think tanks affiliated to
government departments, the newly formed China Centre for International
Economic
Exchanges (CCIEE) is a semi-official think tank, now the highest level of the
kind in China. Many members of the centre are retired senior official, and
former Vice Premier, Zeng Peiyan, serves as its Director. Inspired by some
foreign examples-- American politicians Henry Kissinger and Zbigniew
Brzezinski
both had the experience of working in think tanks before and after they
worked
as senior officials in the White House, China is prepared to take advantage
of
the special status of these retired officials, which can help them more
easily
approach public issues. Moreover, their political experience enables them to
understand the particular requirements of policy makers.
However, the status quo of China's think tanks,
estimated 2,000 in number by the News Weekly "Outlook", is far from
satisfactory
in both its professional competence and international clout. That explains
why,
of all the 2,000 research institutes known as think tanks across the nation,
only 74 has reached the international criteria and gained acknowledgement.
Many
think tanks have even incurred public criticism in recent years for their
improper comments and predictions about social and economic situations.
For instance, last July, when the oil prices hit a
record high of 147 U.S. dollars a barrel, some think tanks in China said it
would reach 200 U.S. dollars soon. Five months later, these experts were put
to
shame when prices plunged to 35 U.S. dollars a barrel.
In the period of "travel rush" during Spring
Festival, an expert from a famous think tank set up a huge wave of public
rage
when he released his remarks on media saying "the only way out to settle the
problems related to "travel rush" during holidays is to highly drive up the
traffic fares." Besides, many more so-called think tanks would rather wait
until
problems pile up before making a reckoning, that would be sort of "firing
belated shots."
It is obvious that those think tanks make wrong
judgments not really due to their lack of professional competence, but
actually
because some of them are so closely connected with "interest groups." Experts
from think tanks affiliated to government agencies have to make sure their
remarks are in line with the interests of the department in question. Trapped
in
such a bottle neck, China's think tank system is in the urgent need to make a
breakthrough, and the establishment of semi-official or independent think
tanks
is deemed by many analysts what China literally needs at the time.
Especially at the juncture when China is increasingly
integrated into the international community and comes to be known as a centre
player on the world stage, it seems more desirable than ever for the country
to
possess a more advanced think tank system commensurate with its enhanced
political and economic clout. Perhaps, it would be advisable for china to
draw
on the experience of others in building the internationalized think tank
system,
say, the U.S. has made a name as the "paradise of think tanks" to the world
and
its experience can be taken for reference.
Also in history, the U.S. think tanks, playing a
critical role in helping politicians make policies and work out strategies,
had
turned out many success stories and even legends. In 1950s, on the Eve of the
Korean War, the U.S. government as well as military held identical views
predicting that China would not send its troops to the battle front. But the
famous think tank Research and Development (RAND) published its report, which
was then quite opposite to the official prediction but later proved correct
by
history-- China entered the War on a full scale.
A recent case concerns North Korea's most debated
rocket launch. Many think tanks in the Western world had been vying for time
to
release their latest findings before and during the event, information
ranging
from detailed research reports, both the speed and depth of satellite
photographs, and foresight about potential impacts of the event upon
policy-making of the nations all across the globe. Voice of China's think
tanks
large and small, nevertheless, was not in the least heard in the
international
community. This is ill-matched with China's international status as a crucial
leverage in the Six-Party Talks.
China is emerging as a weight-carrying power, and
therefore, in the process of enhancing its national strength and lifting its
international influence, an internationalized think tank system featuring
global
credibility and significance will prove to be more or less indispensible.
(Source: People's Daily Online)
2009年7月14日星期二
China's rise opportunity for world
The so-called "threat
of China" is a misinterpretation of the development of China, said Lionel
Vairon, C.E.O of the CEC Consulting and a former French diplomat.
Lionel Vairon (R), C.E.O of the CEC
Consulting and a former French diplomat, poses for a photo before the
interview with Xinhuanet on May 11, 2009 in Beijing. (Xinhuanet
Photo)
Photo
Gallery>>>
"My view on China's development is very simple,
namely, that the rise of China is an opportunity for the world," added
Vairon,
also the author of "Threat of China?" during an exclusive interview with
Xinhuanet Monday.
He added, "In fact, the west probably did not realize
this before 2008 during which they still saw China as a 'problem.'"
"However, presently, influenced by the global
financial crisis, (some western countries￡? believe like what an English
newspaper said yesterday that 'China is the beacon of hope.'"
Explaining that China's economic growth is "an
important factor" for the development of the West, he said, "The current
economic situation in China is not bad, so the growth of China's economy
means
that we have a hope to recover (from the financial crisis)."
Vairon suggested western countries to pay closer
attention to what China thinks. "We have to be careful about what China
says."
"Before, the west concerned little about China's view
as they thought China is a developing country, and it, as a member of the
United
Nations Security Council, only approved resolutions but not negotiated with
others."
"However, we know that China is very important for
the whole international community, especially economically," he stressed.
"The west is happy to see that China is going to lead
multi-growth for the next coming years, but also they would be afraid because
China is a 'danger' in a way," said Vairon.
To avoid unnecessary misunderstanding, he called on
the west and China to strengthen communications and exchanges. "So we have to
enhance communication to try to get closer politically and economically, to
understand each other, to understand China is not to use its power to conquer
the world, which is the basic fear of the west."
Special Report: Global Financial Crisis
of China" is a misinterpretation of the development of China, said Lionel
Vairon, C.E.O of the CEC Consulting and a former French diplomat.
Lionel Vairon (R), C.E.O of the CEC
Consulting and a former French diplomat, poses for a photo before the
interview with Xinhuanet on May 11, 2009 in Beijing. (Xinhuanet
Photo)
Photo
Gallery>>>
"My view on China's development is very simple,
namely, that the rise of China is an opportunity for the world," added
Vairon,
also the author of "Threat of China?" during an exclusive interview with
Xinhuanet Monday.
He added, "In fact, the west probably did not realize
this before 2008 during which they still saw China as a 'problem.'"
"However, presently, influenced by the global
financial crisis, (some western countries￡? believe like what an English
newspaper said yesterday that 'China is the beacon of hope.'"
Explaining that China's economic growth is "an
important factor" for the development of the West, he said, "The current
economic situation in China is not bad, so the growth of China's economy
means
that we have a hope to recover (from the financial crisis)."
Vairon suggested western countries to pay closer
attention to what China thinks. "We have to be careful about what China
says."
"Before, the west concerned little about China's view
as they thought China is a developing country, and it, as a member of the
United
Nations Security Council, only approved resolutions but not negotiated with
others."
"However, we know that China is very important for
the whole international community, especially economically," he stressed.
"The west is happy to see that China is going to lead
multi-growth for the next coming years, but also they would be afraid because
China is a 'danger' in a way," said Vairon.
To avoid unnecessary misunderstanding, he called on
the west and China to strengthen communications and exchanges. "So we have to
enhance communication to try to get closer politically and economically, to
understand each other, to understand China is not to use its power to conquer
the world, which is the basic fear of the west."
Special Report: Global Financial Crisis
China's recovery won't drive up commodity prices: Morgan Stanley economist
China's developing
economic recovery would not raise overall commodity prices, Morgan Stanley's
chief economist for Greater China said here Wednesday.
Wang Qing told a media roundtable that the prices of
staple goods would remain low as the global economy was still only at the
stage
where policy makers had managed to avoid a situation parallel to the Great
Depression of the 1930s.
Interpreting recent price hikes for gold, non-ferrous
metals, oil and grains as an "adjustment of relative prices," Wang said that
the
genuine driving force for inflation -- price hikes from an overall demand
increase -- was nowhere in sight.
"The rising prices mirror the ongoing global economic
recovery and will not hinder the overall recovery process," Wang said.
As the global economic structure hasn't changed
during the crisis, the rise of emerging markets such as India and China and
their reviving appetite for resources would inevitably push up commodity
prices.
But at the same time, their growing productivity also pushed down the prices
of
industrial products.
Such an adjustment in relative prices reflected the
scarcity of staple goods relative to industrial products. Since distressed
selling had kept a firm lid on prices during the crisis, the commodities
market
needed a reasonable rebound, Wang said.
As a bullish commodity market restrained only the
economies that grew by a small margin before the crisis, Wang said that some
countries would be hurt by rising commodity prices, but that situation
wouldn't
stop a global recovery.
INFLATION NO IMMEDIATE CONCERN
In general, he said, inflation would not become a
concern in the next 12 months for the Chinese, U.S. or global economy.
Likening the market argument over inflation or
deflation to the rivalry between Milton Friedman and John Maynard Keynes,
Wang
said that it was understandable for staunch followers of Friedman to think
that
credit and money supply growth would result in inflation sooner or later.
This correlation would break down, however, based on
Keynesian Theory, he said. That theory stated that when an economy was
catastrophically hit by a financial crisis, inflation couldn't surface when
market demand was weak and the output gap was massive, he said.
Citing records dating back to 1997, when the Asian
financial crisis began, Wang said that the Chinese economy, in particular,
had
seen an interesting correlation between price drops and export declines.
The previous two bouts of deflation, after the Asian
crisis and the 2002 dotcom collapse, both followed plunges in exports.
"As the current export and price drops are the worst
ever, it has been difficult for us to imagine the risk of inflation," Wang
said.
NO HOUSING BUBBLE
Regarding the housing recovery as the "most inspiring
development" in the Chinese economy, Wang brushed aside concerns of a bubble
and
said he saw the housing market as a significant gauge of the health of the
Chinese economy.
The Chinese economy was past the worst, which was in
the fourth quarter of last year if judged by chain growth or in the first
quarter if judged on a year-on-year basis.
The fastest-paced quarterly recovery would occur in
the first quarter of 2010, Wang said.
As historic data show that the expansion of new floor
area would lag housing sales growth by six months, while loan growth would
lead
fixed-asset investment by six months, Morgan Stanley held that more housing
demand would emerge in China.
To make a sound assessment of China's economy during
the second half of the year and into next year, Wang advised paying more
attention to the supporting role of real estate in the economy.
He said there were clearer signs that the government
had found a "sustainable business model" to address the property problem.
As the government was developing subsidized
low-income apartments together with commercial housing, Wang said jokingly
that
the government had finally learned to "walk with both legs."
A thorny problem facing China's housing industry,
Wang said, was that the market had brought wealth disparities, which were
rare
during the years of the planned economy, out into the open in only a few
years.
"That has had a heavy impact on the general public
and emotionalized almost every academic discussion of housing bubbles," he
said.
As the weakening of the housing market was mainly
caused by the tight monetary policy adopted on Jan. 1, 2008, policy changes
after the crisis had eased the credit environment for realtors and helped end
the "buyers' strike" during which many consumers postponed their home
purchases
until prices fell.
KUDOS TO CENTRAL BANKS
Despite warnings from academia to many central banks
about inflationary risks, Wang said central banks, including the U.S. Federal
Reserve Board and the People's Bank of China, should be given credit for
having
raised inflation expectations when actually, the economy faced unprecedented
deflationary pressure.
"Without a sufficiently high inflation expectations,
the global economy could hardly emerge from the shadows of economic
depression.
That proves the validity of central bank policies," he said.
"The past rapid expansion of the Chinese and global
economy was an overdraft on the future. The Great Depression was a way to
make
up for an earlier overdraft, but in a catastrophic way.
"Contemporary policymakers who grew up with Keynesian
Theory and macroeconomics are seeking to contain a catastrophe at the price
of
some inflationary risks. If we didn't need to take any inflationary risk, the
crisis would not be anywhere close to the Great Depression of the 1930s," he
said.
The ideal and most likely outcome in the next five or
six years, according to Morgan Stanley's forecast, would be slower growth but
higher inflation. Specifically, the growth of the global economy would drop
to 1
percent to 3 percent annually, while that of the Chinese economy would slow
to 7
percent to 9 percent annually from rates exceeding 10 percent.
The inflation rates for both China and the world
would rise to 3 percent to 5 percent.
economic recovery would not raise overall commodity prices, Morgan Stanley's
chief economist for Greater China said here Wednesday.
Wang Qing told a media roundtable that the prices of
staple goods would remain low as the global economy was still only at the
stage
where policy makers had managed to avoid a situation parallel to the Great
Depression of the 1930s.
Interpreting recent price hikes for gold, non-ferrous
metals, oil and grains as an "adjustment of relative prices," Wang said that
the
genuine driving force for inflation -- price hikes from an overall demand
increase -- was nowhere in sight.
"The rising prices mirror the ongoing global economic
recovery and will not hinder the overall recovery process," Wang said.
As the global economic structure hasn't changed
during the crisis, the rise of emerging markets such as India and China and
their reviving appetite for resources would inevitably push up commodity
prices.
But at the same time, their growing productivity also pushed down the prices
of
industrial products.
Such an adjustment in relative prices reflected the
scarcity of staple goods relative to industrial products. Since distressed
selling had kept a firm lid on prices during the crisis, the commodities
market
needed a reasonable rebound, Wang said.
As a bullish commodity market restrained only the
economies that grew by a small margin before the crisis, Wang said that some
countries would be hurt by rising commodity prices, but that situation
wouldn't
stop a global recovery.
INFLATION NO IMMEDIATE CONCERN
In general, he said, inflation would not become a
concern in the next 12 months for the Chinese, U.S. or global economy.
Likening the market argument over inflation or
deflation to the rivalry between Milton Friedman and John Maynard Keynes,
Wang
said that it was understandable for staunch followers of Friedman to think
that
credit and money supply growth would result in inflation sooner or later.
This correlation would break down, however, based on
Keynesian Theory, he said. That theory stated that when an economy was
catastrophically hit by a financial crisis, inflation couldn't surface when
market demand was weak and the output gap was massive, he said.
Citing records dating back to 1997, when the Asian
financial crisis began, Wang said that the Chinese economy, in particular,
had
seen an interesting correlation between price drops and export declines.
The previous two bouts of deflation, after the Asian
crisis and the 2002 dotcom collapse, both followed plunges in exports.
"As the current export and price drops are the worst
ever, it has been difficult for us to imagine the risk of inflation," Wang
said.
NO HOUSING BUBBLE
Regarding the housing recovery as the "most inspiring
development" in the Chinese economy, Wang brushed aside concerns of a bubble
and
said he saw the housing market as a significant gauge of the health of the
Chinese economy.
The Chinese economy was past the worst, which was in
the fourth quarter of last year if judged by chain growth or in the first
quarter if judged on a year-on-year basis.
The fastest-paced quarterly recovery would occur in
the first quarter of 2010, Wang said.
As historic data show that the expansion of new floor
area would lag housing sales growth by six months, while loan growth would
lead
fixed-asset investment by six months, Morgan Stanley held that more housing
demand would emerge in China.
To make a sound assessment of China's economy during
the second half of the year and into next year, Wang advised paying more
attention to the supporting role of real estate in the economy.
He said there were clearer signs that the government
had found a "sustainable business model" to address the property problem.
As the government was developing subsidized
low-income apartments together with commercial housing, Wang said jokingly
that
the government had finally learned to "walk with both legs."
A thorny problem facing China's housing industry,
Wang said, was that the market had brought wealth disparities, which were
rare
during the years of the planned economy, out into the open in only a few
years.
"That has had a heavy impact on the general public
and emotionalized almost every academic discussion of housing bubbles," he
said.
As the weakening of the housing market was mainly
caused by the tight monetary policy adopted on Jan. 1, 2008, policy changes
after the crisis had eased the credit environment for realtors and helped end
the "buyers' strike" during which many consumers postponed their home
purchases
until prices fell.
KUDOS TO CENTRAL BANKS
Despite warnings from academia to many central banks
about inflationary risks, Wang said central banks, including the U.S. Federal
Reserve Board and the People's Bank of China, should be given credit for
having
raised inflation expectations when actually, the economy faced unprecedented
deflationary pressure.
"Without a sufficiently high inflation expectations,
the global economy could hardly emerge from the shadows of economic
depression.
That proves the validity of central bank policies," he said.
"The past rapid expansion of the Chinese and global
economy was an overdraft on the future. The Great Depression was a way to
make
up for an earlier overdraft, but in a catastrophic way.
"Contemporary policymakers who grew up with Keynesian
Theory and macroeconomics are seeking to contain a catastrophe at the price
of
some inflationary risks. If we didn't need to take any inflationary risk, the
crisis would not be anywhere close to the Great Depression of the 1930s," he
said.
The ideal and most likely outcome in the next five or
six years, according to Morgan Stanley's forecast, would be slower growth but
higher inflation. Specifically, the growth of the global economy would drop
to 1
percent to 3 percent annually, while that of the Chinese economy would slow
to 7
percent to 9 percent annually from rates exceeding 10 percent.
The inflation rates for both China and the world
would rise to 3 percent to 5 percent.
China's real estate market still waits for recovery
Spring is yet to come to China's
housing market, and the government should take more measures to stimulate
real
estate development, said Ren Zhiqiang, President of Huayuan Group, at a
breakout
session of the 2009 Boao Forum for Asia Annual Conference in Hainan Province
on
Friday.
China's real estate market has shown no sign of any
remarkable recovery so far. After the global financial crisis broke out, the
Chinese government worked out a 4-trillion-yuan emergency plan to boost the
domestic economy. To date, however, only some 200 billion yuan has gone to
the
real estate market, and this investment is far from adequate to bring about
any
radical change, said Ren Zhiqiang.
Ren Zhiqiang, President of Huayuan
Group, at a breakout session of the 2009 Boao Forum for Asia Annual
Conference in Hainan Province on April 17, 2009. (Photo:
china.org.cn)
Photo
Gallery>>>
As the global financial crisis unfolds, China has
loosened some restrictions on the market in second-hand homes. Duties like
stamp
tax and land appreciation tax have been cut down to some extent. Most banks,
however, are still taking a wait-and-see attitude because they have learnt a
serious lesson from the global financial crisis and are not confident of the
development of the domestic housing market, Shi Nengzi, a partner in Deloitte
Consulting China, pointed out.
To help the industry get through these tough times,
Ren Zhiqiang appealed to the government to launch more positive policies and
further reduce such taxes as business tax and tax on dividends.
Pan Shiyi, Chairman of SOHO China Ltd,
receives interview by journalists from Xinhua News Agency in Boao, a
scenic town in south China's Hainan Province, April 17, 2009. The Boao
Forum for Asia (BFA) Annual Conference 2009 kicked off here Friday.
(Xinhua/Zhao Yingquan)
Photo Gallery>>>
Ren's view, however, was countered by Pan Shiyi,
another real estate developer who owned many skyscrapers in Beijing's Central
Business Districts. According to Pan, the government has taken all possible
measures to support the real estate market, and now the only thing left to do
is
to wait and see the results.
(Source: china.org.cn)
housing market, and the government should take more measures to stimulate
real
estate development, said Ren Zhiqiang, President of Huayuan Group, at a
breakout
session of the 2009 Boao Forum for Asia Annual Conference in Hainan Province
on
Friday.
China's real estate market has shown no sign of any
remarkable recovery so far. After the global financial crisis broke out, the
Chinese government worked out a 4-trillion-yuan emergency plan to boost the
domestic economy. To date, however, only some 200 billion yuan has gone to
the
real estate market, and this investment is far from adequate to bring about
any
radical change, said Ren Zhiqiang.
Ren Zhiqiang, President of Huayuan
Group, at a breakout session of the 2009 Boao Forum for Asia Annual
Conference in Hainan Province on April 17, 2009. (Photo:
china.org.cn)
Photo
Gallery>>>
As the global financial crisis unfolds, China has
loosened some restrictions on the market in second-hand homes. Duties like
stamp
tax and land appreciation tax have been cut down to some extent. Most banks,
however, are still taking a wait-and-see attitude because they have learnt a
serious lesson from the global financial crisis and are not confident of the
development of the domestic housing market, Shi Nengzi, a partner in Deloitte
Consulting China, pointed out.
To help the industry get through these tough times,
Ren Zhiqiang appealed to the government to launch more positive policies and
further reduce such taxes as business tax and tax on dividends.
Pan Shiyi, Chairman of SOHO China Ltd,
receives interview by journalists from Xinhua News Agency in Boao, a
scenic town in south China's Hainan Province, April 17, 2009. The Boao
Forum for Asia (BFA) Annual Conference 2009 kicked off here Friday.
(Xinhua/Zhao Yingquan)
Photo Gallery>>>
Ren's view, however, was countered by Pan Shiyi,
another real estate developer who owned many skyscrapers in Beijing's Central
Business Districts. According to Pan, the government has taken all possible
measures to support the real estate market, and now the only thing left to do
is
to wait and see the results.
(Source: china.org.cn)
Chinese nationals leave Mexico City in chartered plane
A total of 79 Chinese citizens left Mexico
City early Tuesday aboard a chartered flight sent by the Chinese government.
The plane took off from international airport Benito Juarez at about 3:05
a.m. local time (0805 GMT), heading towards Tijuana, northern city on the
U.S.-Mexico border, to lift 20 more Chinese before returning to China. Full
story
FM: China's bans on pigs, pork imports in line with WTO rules
BEIJING, May 5 (Xinhua) -- China's temporary bans on the imports of pigs
and pork products from some regions hit by the A-strain influenza are in line
with the rules of the World Trade Organizations (WTO), Foreign Ministry
spokesman Ma Zhaoxu said here Tuesday.
China's emergency measures, to safeguard its stock industry and human
health from the A/H1N1 virus, are also in accordance with the rules of the
World Organization for Animal Health, Ma told a regular press conference.
Full story
China says quarantine of Canadian students legal
BEIJING, May 5 (Xinhua) -- China defended on Tuesday its quarantine of 25
Canadian students in Changchun, capital of northeastern Jilin Province,
saying it was in accordance with law and the Canadians had assented to it.
The students began a seven-day quarantine period at a hotel on May 2 when
they arrived, the same day that Canada confirmed 51 cases of A/H1N1 epidemic
infection, said Foreign Ministry spokesman Ma Zhaoxu. Full story
China Exclusive: Quarantined Chinese citizens say life boring, but easy
BEIJING, May 5 (Xinhua) -- Quarantined Chinese citizens said Tuesday that
they understand the medical measures taken to prevent the spread of influenza
A/H1N1, despite the boredom of isolation.
"Quarantine is boring, but easy. We watch TV and read newspapers to kill
time," said a woman surnamed Wen, who is under the seven-day quarantine
period at a hotel in Beijing after returning from Mexico. Full story
China vows to keep killer flu out of border while sending chartered plane to
Mexico
BEIJING, May 4 (Xinhua) -- Chinese Vice-Premier Li Keqiang on Monday
vowed to keep the worsening global epidemic of influenza A/H1N1 out of
China's border, while the same day the government sent a chartered plane to
Mexico to pick up around 200 stranded Chinese nationals.
"The most important work at present was to strictly check on border
entry" as the killer disease has been mainly reported overseas, Li gave the
direction during a visit to the Ministry of Health. Full story
China's chartered flight arrives in Mexico to bring back nationals
MEXICO CITY, May 5 (Xinhua) -- A chartered flight from China arrived
early Tuesday in Mexico City to bring back some 99 nationals stranded in
Mexico, the epicenter of the A/H1N1 flu outbreak.
The aircraft Boeing 777-200 arrived at about 1:50 a.m. (0750 GMT) early
Tuesday at international airport Benito Juarez to lift 79 Chinese citizens
stranded in the capital. Full story
China hopes Mexico understands its necessary precautions against influenza
A/H1N1
BEIJING, May 4 (Xinhua) -- China on Monday defended its medical
quarantine of some passengers who had traveled on the same flight with a
Mexican man who was infected with influenza A/H1N1.
"The measures concerned are not targeted at Mexican citizens and there is
no discrimination," said Foreign Ministry spokesman Ma Zhaoxu in a press
release. Full story
City early Tuesday aboard a chartered flight sent by the Chinese government.
The plane took off from international airport Benito Juarez at about 3:05
a.m. local time (0805 GMT), heading towards Tijuana, northern city on the
U.S.-Mexico border, to lift 20 more Chinese before returning to China. Full
story
FM: China's bans on pigs, pork imports in line with WTO rules
BEIJING, May 5 (Xinhua) -- China's temporary bans on the imports of pigs
and pork products from some regions hit by the A-strain influenza are in line
with the rules of the World Trade Organizations (WTO), Foreign Ministry
spokesman Ma Zhaoxu said here Tuesday.
China's emergency measures, to safeguard its stock industry and human
health from the A/H1N1 virus, are also in accordance with the rules of the
World Organization for Animal Health, Ma told a regular press conference.
Full story
China says quarantine of Canadian students legal
BEIJING, May 5 (Xinhua) -- China defended on Tuesday its quarantine of 25
Canadian students in Changchun, capital of northeastern Jilin Province,
saying it was in accordance with law and the Canadians had assented to it.
The students began a seven-day quarantine period at a hotel on May 2 when
they arrived, the same day that Canada confirmed 51 cases of A/H1N1 epidemic
infection, said Foreign Ministry spokesman Ma Zhaoxu. Full story
China Exclusive: Quarantined Chinese citizens say life boring, but easy
BEIJING, May 5 (Xinhua) -- Quarantined Chinese citizens said Tuesday that
they understand the medical measures taken to prevent the spread of influenza
A/H1N1, despite the boredom of isolation.
"Quarantine is boring, but easy. We watch TV and read newspapers to kill
time," said a woman surnamed Wen, who is under the seven-day quarantine
period at a hotel in Beijing after returning from Mexico. Full story
China vows to keep killer flu out of border while sending chartered plane to
Mexico
BEIJING, May 4 (Xinhua) -- Chinese Vice-Premier Li Keqiang on Monday
vowed to keep the worsening global epidemic of influenza A/H1N1 out of
China's border, while the same day the government sent a chartered plane to
Mexico to pick up around 200 stranded Chinese nationals.
"The most important work at present was to strictly check on border
entry" as the killer disease has been mainly reported overseas, Li gave the
direction during a visit to the Ministry of Health. Full story
China's chartered flight arrives in Mexico to bring back nationals
MEXICO CITY, May 5 (Xinhua) -- A chartered flight from China arrived
early Tuesday in Mexico City to bring back some 99 nationals stranded in
Mexico, the epicenter of the A/H1N1 flu outbreak.
The aircraft Boeing 777-200 arrived at about 1:50 a.m. (0750 GMT) early
Tuesday at international airport Benito Juarez to lift 79 Chinese citizens
stranded in the capital. Full story
China hopes Mexico understands its necessary precautions against influenza
A/H1N1
BEIJING, May 4 (Xinhua) -- China on Monday defended its medical
quarantine of some passengers who had traveled on the same flight with a
Mexican man who was infected with influenza A/H1N1.
"The measures concerned are not targeted at Mexican citizens and there is
no discrimination," said Foreign Ministry spokesman Ma Zhaoxu in a press
release. Full story
China's quarantine measures "proper and necessary"
Chinese ambassador to Mexico Yin Hengmin (R) says good-bye to Chinese
citizens waiting for boarding at Benito Juarez international airport in
Mexico City, capital of Mexico, May 5, 2009. A total of 79 Chinese citizens
left Mexico City early Tuesday aboard a chartered flight sent by the Chinese
government. The plane took off from Mexico City, heading towards Tijuana,
northern Mexico, to lift 20 more Chinese before returning to China.
(Xinhua/David De la Paz)
Photo Gallery>>>
BEIJING, May 5 -- China and Mexico Monday agreed to
send chartered flights to each other's countries to fetch their citizens,
dampening a row that stemmed from Beijing's quarantine of Mexican nationals
in
the country amid the global H1N1 flu outbreak.
On Sunday, China Southern Airlines canceled a
chartered flight meant to pick up more than 200 Chinese citizens stranded in
Mexico as it could not secure landing permission from Mexican airports.
The plane finally left Guangzhou for Mexico City at
10 p.m. Monday and is expected to return to Shanghai at 9 am Wednesday, the
airline said.
The Mexican government Monday accused China of singling out its citizens
for forced isolation despite the fact they showed no symptoms of the virus.
A Chinese citizen waits for boarding at Benito Juarez international airport
in Mexico City, capital of Mexico, May 5, 2009. A total of 79 Chinese
citizens left Mexico City early Tuesday aboard a chartered flight sent by the
Chinese government. The plane took off from Mexico City, heading towards
Tijuana, northern Mexico, to lift 20 more Chinese before returning to China.
(Xinhua/David De la Paz)
Photo Gallery>>>
A Mexican embassy official said that there were
nearly 70 Mexicans quarantined across China - in Beijing, Shanghai and
Guangzhou.
Some had traveled to China aboard the same flight
that carried an infected Mexican man - Asia's first confirmed H1N1 flu case -
who is now in a Hong Kong hospital.
Mexican Foreign Minister Patricia Espinosa called
China's actions "unjustified" and warned Mexicans against visiting China.
China rejected the charge, saying it was not
discriminating against Mexicans and called for Mexico to be "objective and
calm."
"The measures are not targeted at Mexican citizens,
and are not discriminatory. This is purely a question of health inspection
and
quarantine," Foreign Ministry spokesman Ma Zhaoxu said Monday.
"China understands the Mexican side's concern for the rights and
interests of its citizens in China, and hopes to jointly address the epidemic
situation," he said.
Chinese citizens wait for boarding at Benito Juarez international airport in
Mexico City, capital of Mexico, May 5, 2009. A total of 79 Chinese citizens
left Mexico City early Tuesday aboard a chartered flight sent by the Chinese
government. The plane took off from Mexico City, heading towards Tijuana,
northern Mexico, to lift 20 more Chinese before returning to China.
(Xinhua/David De la Paz)
Photo Gallery>>>
The WHO's representative in China, Hans Troeddson,
said Monday the measures taken by Beijing are proper and do not violate
current regulations.
"It's really up to each country and should be in
accordance with their own regulations and legislation on public health and
protection of the population," he said.
Zhong Nanshan, a renowned medical expert and member
of the Chinese Academy of Engineering, also defended the quarantine measures.
Medical circles are still unclear over the pathology
of the H1N1 virus, he said. "We're not sure whether H1N1 carriers transfer
the
virus before showing symptoms," Zhong said.
As such, quarantine for a certain period is necessary
to check whether those monitored are infected, he said.
Shi Yinhong, a professor of international relations
at Renmin University of China, said Mexican authorities' criticism of China's
quarantine moves could slightly affect their relations.
"If the flu had broken out in China and other
countries had taken similar action, I don't think Beijing would have
complained," he said, pointing out that China has also quarantined its own
citizens returning from Mexico.
"(But) we can understand the Mexican reaction, which
has been affected by their domestic situation. Not many will mention it after
two or three weeks," he said.
Most Chinese online users also support the decision
to quarantine Mexicans.
A poll by major information portal Sina.com showed
that 92.5 percent of 4,263 online users said the quarantine was "a necessary
preventive method and had nothing to do with discrimination".
China offered 5 million U.S. dollars in aid to
Mexico last Wednesday - 1 million dollars in cash and 4 million dollars in
medical supplies - the first country to send aid after the epidemic broke
out.
Mexican President Felipe Calderon received the Air China chartered flight
carrying the supplies on Friday.
The second batch of aid material reached Monday.
In China, the authorities have beefed up preventive
measures.
The Ministry of Health (MOH) said Monday
although the mainland has not yet reported any cases of H1N1, there is a
possibility of the virus making its way.
The General Administration of Quality Supervision,
Inspection and Quarantine (AQSIQ) said Monday six more supervision teams
had been sent to Shandong, Hebei, Sichuan, Jiangsu, Zhejiang, Hunan, Hubei
and
Shaanxi provinces to work with local authorities in epidemic prevention. It
sent
five teams to Beijing, Shanghai and Guangzhou in late April.
The World Health Organization (WHO) Monday
raised its tally of confirmed human H1N1 cases to 1,003 with 26 confirmed
deaths. Twenty countries and regions have reported laboratory-confirmed cases
so
far. Mexico, the center of the outbreak, has reported 590 cases and 25 deaths
from the virus.
(Source: chinadaily.com.cn)
citizens waiting for boarding at Benito Juarez international airport in
Mexico City, capital of Mexico, May 5, 2009. A total of 79 Chinese citizens
left Mexico City early Tuesday aboard a chartered flight sent by the Chinese
government. The plane took off from Mexico City, heading towards Tijuana,
northern Mexico, to lift 20 more Chinese before returning to China.
(Xinhua/David De la Paz)
Photo Gallery>>>
BEIJING, May 5 -- China and Mexico Monday agreed to
send chartered flights to each other's countries to fetch their citizens,
dampening a row that stemmed from Beijing's quarantine of Mexican nationals
in
the country amid the global H1N1 flu outbreak.
On Sunday, China Southern Airlines canceled a
chartered flight meant to pick up more than 200 Chinese citizens stranded in
Mexico as it could not secure landing permission from Mexican airports.
The plane finally left Guangzhou for Mexico City at
10 p.m. Monday and is expected to return to Shanghai at 9 am Wednesday, the
airline said.
The Mexican government Monday accused China of singling out its citizens
for forced isolation despite the fact they showed no symptoms of the virus.
A Chinese citizen waits for boarding at Benito Juarez international airport
in Mexico City, capital of Mexico, May 5, 2009. A total of 79 Chinese
citizens left Mexico City early Tuesday aboard a chartered flight sent by the
Chinese government. The plane took off from Mexico City, heading towards
Tijuana, northern Mexico, to lift 20 more Chinese before returning to China.
(Xinhua/David De la Paz)
Photo Gallery>>>
A Mexican embassy official said that there were
nearly 70 Mexicans quarantined across China - in Beijing, Shanghai and
Guangzhou.
Some had traveled to China aboard the same flight
that carried an infected Mexican man - Asia's first confirmed H1N1 flu case -
who is now in a Hong Kong hospital.
Mexican Foreign Minister Patricia Espinosa called
China's actions "unjustified" and warned Mexicans against visiting China.
China rejected the charge, saying it was not
discriminating against Mexicans and called for Mexico to be "objective and
calm."
"The measures are not targeted at Mexican citizens,
and are not discriminatory. This is purely a question of health inspection
and
quarantine," Foreign Ministry spokesman Ma Zhaoxu said Monday.
"China understands the Mexican side's concern for the rights and
interests of its citizens in China, and hopes to jointly address the epidemic
situation," he said.
Chinese citizens wait for boarding at Benito Juarez international airport in
Mexico City, capital of Mexico, May 5, 2009. A total of 79 Chinese citizens
left Mexico City early Tuesday aboard a chartered flight sent by the Chinese
government. The plane took off from Mexico City, heading towards Tijuana,
northern Mexico, to lift 20 more Chinese before returning to China.
(Xinhua/David De la Paz)
Photo Gallery>>>
The WHO's representative in China, Hans Troeddson,
said Monday the measures taken by Beijing are proper and do not violate
current regulations.
"It's really up to each country and should be in
accordance with their own regulations and legislation on public health and
protection of the population," he said.
Zhong Nanshan, a renowned medical expert and member
of the Chinese Academy of Engineering, also defended the quarantine measures.
Medical circles are still unclear over the pathology
of the H1N1 virus, he said. "We're not sure whether H1N1 carriers transfer
the
virus before showing symptoms," Zhong said.
As such, quarantine for a certain period is necessary
to check whether those monitored are infected, he said.
Shi Yinhong, a professor of international relations
at Renmin University of China, said Mexican authorities' criticism of China's
quarantine moves could slightly affect their relations.
"If the flu had broken out in China and other
countries had taken similar action, I don't think Beijing would have
complained," he said, pointing out that China has also quarantined its own
citizens returning from Mexico.
"(But) we can understand the Mexican reaction, which
has been affected by their domestic situation. Not many will mention it after
two or three weeks," he said.
Most Chinese online users also support the decision
to quarantine Mexicans.
A poll by major information portal Sina.com showed
that 92.5 percent of 4,263 online users said the quarantine was "a necessary
preventive method and had nothing to do with discrimination".
China offered 5 million U.S. dollars in aid to
Mexico last Wednesday - 1 million dollars in cash and 4 million dollars in
medical supplies - the first country to send aid after the epidemic broke
out.
Mexican President Felipe Calderon received the Air China chartered flight
carrying the supplies on Friday.
The second batch of aid material reached Monday.
In China, the authorities have beefed up preventive
measures.
The Ministry of Health (MOH) said Monday
although the mainland has not yet reported any cases of H1N1, there is a
possibility of the virus making its way.
The General Administration of Quality Supervision,
Inspection and Quarantine (AQSIQ) said Monday six more supervision teams
had been sent to Shandong, Hebei, Sichuan, Jiangsu, Zhejiang, Hunan, Hubei
and
Shaanxi provinces to work with local authorities in epidemic prevention. It
sent
five teams to Beijing, Shanghai and Guangzhou in late April.
The World Health Organization (WHO) Monday
raised its tally of confirmed human H1N1 cases to 1,003 with 26 confirmed
deaths. Twenty countries and regions have reported laboratory-confirmed cases
so
far. Mexico, the center of the outbreak, has reported 590 cases and 25 deaths
from the virus.
(Source: chinadaily.com.cn)
China's precautions understandable: returned Mexicans
Mexicans who returned home on Wednesday
from quarantines in China expressed understanding of the precautious measures
taken by the Chinese government.
Contemporary artist Roberto Arcaute, who had been living in China since
2007, said that "they (the Chinese authorities) treated me really well."
The measures taken by the Chinese authorities were "just a preventive
measure and by no means discrimination," he said.
"They treated me well, I was in a hotel," said Arcaute, adding that he
had been provided hermetic suits and other sanitary materials.
Arcaute was among 136 Mexicans who had been put into quarantine in
different Chinese cities for possible A/H1N1 flu infections.
The great caution of the Chinese government was due to what they had
experienced in the SARS outbreak in 2003, Marai Lourdes Castaneda, who
returned on the same plane dispatched by the Mexican government, said at a
press conference.
"The fear is understandable after what they have been through," Castaneda
said.
"I wish we (in Mexico) had the same care as the Chinese have in avoiding
infections," said Businessman Alfredo Hakim when talking about his experience
in China.
"We stayed in quarantine for seven days" in a hotel, Hakim said, adding
that the Chinese government had provided them with food and sanitary
materials for their protection.
On May 1, 13 crew members and 166 passengers on board a flight carrying a
Mexican passenger who has been tested positive of the flu were quarantined in
China.
from quarantines in China expressed understanding of the precautious measures
taken by the Chinese government.
Contemporary artist Roberto Arcaute, who had been living in China since
2007, said that "they (the Chinese authorities) treated me really well."
The measures taken by the Chinese authorities were "just a preventive
measure and by no means discrimination," he said.
"They treated me well, I was in a hotel," said Arcaute, adding that he
had been provided hermetic suits and other sanitary materials.
Arcaute was among 136 Mexicans who had been put into quarantine in
different Chinese cities for possible A/H1N1 flu infections.
The great caution of the Chinese government was due to what they had
experienced in the SARS outbreak in 2003, Marai Lourdes Castaneda, who
returned on the same plane dispatched by the Mexican government, said at a
press conference.
"The fear is understandable after what they have been through," Castaneda
said.
"I wish we (in Mexico) had the same care as the Chinese have in avoiding
infections," said Businessman Alfredo Hakim when talking about his experience
in China.
"We stayed in quarantine for seven days" in a hotel, Hakim said, adding
that the Chinese government had provided them with food and sanitary
materials for their protection.
On May 1, 13 crew members and 166 passengers on board a flight carrying a
Mexican passenger who has been tested positive of the flu were quarantined in
China.
China's New Silk Road shines in Africa
The word "China" has echoed in the meeting
halls of the ongoing three-day World Economic Forum on Africa, reflecting the
close attention to the Asian country which is widely regarded as Africa's
crucial partner in the strive against global economic crisis and future
development.
The issues related to China have become hot topics in the platform which
attracted over 800 participants from 50 countries and five African leaders in
a bid to seek practical solutions to foster better business practices and
greater investment across the continent, under the theme of "Implications of
the Global Economic Crisis for Africa".
The meeting room 2 in Cape Town's Convention Center was fully packed on
Thursday afternoon. The plenary of "Exploring China's New Silk Road" gained
more popularity than other sessions, which was testified by the fact that two
Chinese speakers have been bombed by questions from delegates and journalists
from various countries in the forum.
Liu Guijin is China's special representative for African affairs while
Jiang Jieqing is the chairman of the board of the Industrial and Commercial
Bank of China (ICBC), also the sole co-chair of the forum from China.
Liu said the links between Africa and China go beyond mere trade. It
includes China's commitment to Direction Official Development Assistance
flows to Africa in minerals, agriculture development and industrial parks. In
the process, China has become a major financier of infrastructure in sub-
Saharan Africa.
China is opposed to protectionism, said Liu. He criticized Western
countries that blocking Chinese acquisition of Western firms on the grounds
of national security.
China approaches these issues with a political willingness based on the
concept of deals between equal partners, he said.
Meanwhile, Jiang pointed out at the session that trade flows between
China and Africa rose 10 fold between 2001 and 2008. The ICBC has revealed an
imminent signing of 800 million U.S. dollars funding of a power station in
Botswana. The bank has purchased 20 percent of interest in the Standard Bank.
Jacko Maree, chief executive of South Africa's Standard Bank Group, said
at the meeting that there is a clear difference between opportunities for
Africa in trade with the developed economies and emerging economies. The
Chinese investment in this is long-term and strategic.
Former UN chief Kofi Annan said at the opening plenary of forum that
China will lead Africa out of the economic deadlock caused by the world
economic downturn, following the statement by newly-elected South African
president Jacob Zuma that the strengthened Sino-African cooperation will
yield win-win outcome.
African Development Bank (AfDB)'s Donald Kaberuka has told Xinhua in an
exclusive interview that the Sino-African cooperation has not only brought
benefits to the peoples of the two sides, but also contributed to world peace
and development.
The bilateral trade and China's increasing investment have infused energy
into African economic development, enabling the continent to being involved
into the global economy more rapidly, said Kaberuka.
More funds from China have been channeled towards garment manufacturing,
telecom, electric appliance, retail, fishing and services etc, helping
prevent African economies from over reliance on natural resources.
The economies of Africa and China are complementary, a basis for the win
-win, said Kaberuka, explaining that 53 African countries with about 900
million people boast of abundant natural and human resources while China
enjoying robust economic strength after 30 years of the implementation of the
opening-up policy with more African choosing Chinese goods.
"Africa needs China and China also needs Africa. The contribution of
China to African's economic growth has amounted to20 percent, bringing
benefits to the African continent," said Kaberuka.
The World Economic Forum on Africa is scheduled to end on Friday. The
closing plenary session of the platform will highlight the outcomes of the
meeting and map out the future engagement of main stakeholders.
halls of the ongoing three-day World Economic Forum on Africa, reflecting the
close attention to the Asian country which is widely regarded as Africa's
crucial partner in the strive against global economic crisis and future
development.
The issues related to China have become hot topics in the platform which
attracted over 800 participants from 50 countries and five African leaders in
a bid to seek practical solutions to foster better business practices and
greater investment across the continent, under the theme of "Implications of
the Global Economic Crisis for Africa".
The meeting room 2 in Cape Town's Convention Center was fully packed on
Thursday afternoon. The plenary of "Exploring China's New Silk Road" gained
more popularity than other sessions, which was testified by the fact that two
Chinese speakers have been bombed by questions from delegates and journalists
from various countries in the forum.
Liu Guijin is China's special representative for African affairs while
Jiang Jieqing is the chairman of the board of the Industrial and Commercial
Bank of China (ICBC), also the sole co-chair of the forum from China.
Liu said the links between Africa and China go beyond mere trade. It
includes China's commitment to Direction Official Development Assistance
flows to Africa in minerals, agriculture development and industrial parks. In
the process, China has become a major financier of infrastructure in sub-
Saharan Africa.
China is opposed to protectionism, said Liu. He criticized Western
countries that blocking Chinese acquisition of Western firms on the grounds
of national security.
China approaches these issues with a political willingness based on the
concept of deals between equal partners, he said.
Meanwhile, Jiang pointed out at the session that trade flows between
China and Africa rose 10 fold between 2001 and 2008. The ICBC has revealed an
imminent signing of 800 million U.S. dollars funding of a power station in
Botswana. The bank has purchased 20 percent of interest in the Standard Bank.
Jacko Maree, chief executive of South Africa's Standard Bank Group, said
at the meeting that there is a clear difference between opportunities for
Africa in trade with the developed economies and emerging economies. The
Chinese investment in this is long-term and strategic.
Former UN chief Kofi Annan said at the opening plenary of forum that
China will lead Africa out of the economic deadlock caused by the world
economic downturn, following the statement by newly-elected South African
president Jacob Zuma that the strengthened Sino-African cooperation will
yield win-win outcome.
African Development Bank (AfDB)'s Donald Kaberuka has told Xinhua in an
exclusive interview that the Sino-African cooperation has not only brought
benefits to the peoples of the two sides, but also contributed to world peace
and development.
The bilateral trade and China's increasing investment have infused energy
into African economic development, enabling the continent to being involved
into the global economy more rapidly, said Kaberuka.
More funds from China have been channeled towards garment manufacturing,
telecom, electric appliance, retail, fishing and services etc, helping
prevent African economies from over reliance on natural resources.
The economies of Africa and China are complementary, a basis for the win
-win, said Kaberuka, explaining that 53 African countries with about 900
million people boast of abundant natural and human resources while China
enjoying robust economic strength after 30 years of the implementation of the
opening-up policy with more African choosing Chinese goods.
"Africa needs China and China also needs Africa. The contribution of
China to African's economic growth has amounted to20 percent, bringing
benefits to the African continent," said Kaberuka.
The World Economic Forum on Africa is scheduled to end on Friday. The
closing plenary session of the platform will highlight the outcomes of the
meeting and map out the future engagement of main stakeholders.
China's new loan growth may decline in April
Credit extended by China's banks in April may
have dropped to above 600 billion yuan (about 87.85 billion U.S. dollars)
after staying at above 1 trillion yuan for three straight months, industry
insiders said.
Despite the sharp month-on-month decline, the scale and growth of the
April new loans was "more reasonable" than that in the first three months
this year, said Tuesday's China Securities Journal, citing unidentified
sources with banks.
China's new yuan-denominated loans hit 4.58 trillion yuan (670 billion
U.S. dollars) in the first quarter, according to figures from the People's
Bank of China, the central bank. In March alone, new credit loans increased
1.89 trillion yuan.
The country's "big four" state-owned commercial banks, including
Industrial and Commercial Bank of China, the world's largest bank by market
value, are estimated to have lent more than250 billion yuan in April, while
smaller banks have lent about 400billion yuan, said the sources.
Medium- and long-term loans would have accounted for a larger proportion
in the April new loans, while the scale of bill financing would fall sharply,
said analysts.
It is also forecasted that new loans in May and June will not see a
dramatic decline from the April level, according to Li Gang, expert with
Agricultural Bank of China.
The average new loans for the rest months of the year will be around 300
billion yuan, he said.
have dropped to above 600 billion yuan (about 87.85 billion U.S. dollars)
after staying at above 1 trillion yuan for three straight months, industry
insiders said.
Despite the sharp month-on-month decline, the scale and growth of the
April new loans was "more reasonable" than that in the first three months
this year, said Tuesday's China Securities Journal, citing unidentified
sources with banks.
China's new yuan-denominated loans hit 4.58 trillion yuan (670 billion
U.S. dollars) in the first quarter, according to figures from the People's
Bank of China, the central bank. In March alone, new credit loans increased
1.89 trillion yuan.
The country's "big four" state-owned commercial banks, including
Industrial and Commercial Bank of China, the world's largest bank by market
value, are estimated to have lent more than250 billion yuan in April, while
smaller banks have lent about 400billion yuan, said the sources.
Medium- and long-term loans would have accounted for a larger proportion
in the April new loans, while the scale of bill financing would fall sharply,
said analysts.
It is also forecasted that new loans in May and June will not see a
dramatic decline from the April level, according to Li Gang, expert with
Agricultural Bank of China.
The average new loans for the rest months of the year will be around 300
billion yuan, he said.
China's IPR protection progress encourages world: WIPO
China has encouraged
the whole world by making remarkable progress in intellectual property rights
(IPR) protection in a short time, a world IPR body official said Monday.
Francis Gurry, director-general of the World
Intellectual Property Organization (WIPO), made the remarks in a video
greeting
to the China Intellectual Property Protection Week launched here.
Gurry said China's development in the intellectual
property sector was faster than that of many other countries, which
contributed
to the world's innovation cause.
Gurry's remarks reflected China's persistent efforts
over the past three decades to protect intellectual property, said Tian Lipu,
director of the State Intellectual Property Office (SIPO).
China had established a trademark law system that
suited both China and international regulations, Tian said, adding the
country
had joined six international treaties or conventions concerning trademarks.
Statistics of the SIPO showed the administration had
processed more than 4 million patent applications and registered more than
3million trademarks as of the end of March last year, both ranking in the top
list in the world.
The country had enhanced the protection of
international trademarks in the past years, as more than 530,000 foreign
trademarks from more than 130 countries or regions had been registered in
China
by 2008, Tian said.
The figure was more than 100 times more than the 1979
level, when companies and enterprises from only 20 countries or regions had
registered their trademarks in China.
Tian said China advocated the establishment of the
World Intellectual Property Day on April 26 in 2001, and has organized the
annual event of Intellectual Property Protection Week since 2004.
This year will feature lectures on intellectual
property protection, crackdown on illegal video and audio products as well as
a
white paper on intellectual property protection of China's custom
administrations, according to the official.
the whole world by making remarkable progress in intellectual property rights
(IPR) protection in a short time, a world IPR body official said Monday.
Francis Gurry, director-general of the World
Intellectual Property Organization (WIPO), made the remarks in a video
greeting
to the China Intellectual Property Protection Week launched here.
Gurry said China's development in the intellectual
property sector was faster than that of many other countries, which
contributed
to the world's innovation cause.
Gurry's remarks reflected China's persistent efforts
over the past three decades to protect intellectual property, said Tian Lipu,
director of the State Intellectual Property Office (SIPO).
China had established a trademark law system that
suited both China and international regulations, Tian said, adding the
country
had joined six international treaties or conventions concerning trademarks.
Statistics of the SIPO showed the administration had
processed more than 4 million patent applications and registered more than
3million trademarks as of the end of March last year, both ranking in the top
list in the world.
The country had enhanced the protection of
international trademarks in the past years, as more than 530,000 foreign
trademarks from more than 130 countries or regions had been registered in
China
by 2008, Tian said.
The figure was more than 100 times more than the 1979
level, when companies and enterprises from only 20 countries or regions had
registered their trademarks in China.
Tian said China advocated the establishment of the
World Intellectual Property Day on April 26 in 2001, and has organized the
annual event of Intellectual Property Protection Week since 2004.
This year will feature lectures on intellectual
property protection, crackdown on illegal video and audio products as well as
a
white paper on intellectual property protection of China's custom
administrations, according to the official.
China's importance, responsibility in the world increase: Brazilian expert
China's increasing importance in the
international community implies a great responsibility and the challenge of
making that compatible with its internal needs, a Brazilian expert said
Thursday.
As China climbs toward one of the top positions in the world economy, its
political and diplomatic weight increases, Luis Antonio Paulino, a world
economy professor and head of the Confucius Institute at Sao Paulo State
University, said in an interview with Xinhua.
"China's actual contribution to the growth of the world economy is higher
than the United States'," Paulino said.
The professor said China plays a key role in the world's economic growth,
which puts the country in a position similar to other powers in the past.
Paulino pointed out that China remained relatively isolated from the
world economy until 1978 when it began to open itself up to the world.
"With the reform and opening policy started in 1978, China not only
transformed its economic system from a centralized planned economy to a
socialist market economy, but also integrated to the global economy. China
is, today, an economy more open than Japan," he said.
China's external trade, Paulino said, represents more than 60 percent of
its gross domestic product, which means that the country's "fantastic
economic growth in the past years has created opportunities for income and
employment not only in China, but in all countries."
INTERNATIONAL INFLUENCE
China's rapid economic development, Paulino said, means its opinions on
any subject, from the reorganization of the international financial system to
the environment and world security, "are listened to attentively by all
countries and leaders in the world."
If that shows recognition of China's strength, the professor said, it
also means a great responsibility because what happens in China has
increasing repercussions on the rest of the planet.
Countries such as the United States and Great Britain became world powers
when they were already relatively rich, and that allowed them to make certain
concessions to exercise their leadership. China, Paulino said, is becoming a
power but is still a developing country.
"This is a great contradiction which poses a double challenge for China:
worrying about its internal development and about the repercussions of its
policies in the rest of the world," the professor said.
He said that it's necessary for China to develop a healthy and positive
relationship with the rest of the world.
"China has one fifth of the world's population, and its culture and
civilization have great contributions to the progress of the humanity,"
Paulino said. "China's cooperation with all countries with mutual respect
fits its position and will promote the balanced global development."
international community implies a great responsibility and the challenge of
making that compatible with its internal needs, a Brazilian expert said
Thursday.
As China climbs toward one of the top positions in the world economy, its
political and diplomatic weight increases, Luis Antonio Paulino, a world
economy professor and head of the Confucius Institute at Sao Paulo State
University, said in an interview with Xinhua.
"China's actual contribution to the growth of the world economy is higher
than the United States'," Paulino said.
The professor said China plays a key role in the world's economic growth,
which puts the country in a position similar to other powers in the past.
Paulino pointed out that China remained relatively isolated from the
world economy until 1978 when it began to open itself up to the world.
"With the reform and opening policy started in 1978, China not only
transformed its economic system from a centralized planned economy to a
socialist market economy, but also integrated to the global economy. China
is, today, an economy more open than Japan," he said.
China's external trade, Paulino said, represents more than 60 percent of
its gross domestic product, which means that the country's "fantastic
economic growth in the past years has created opportunities for income and
employment not only in China, but in all countries."
INTERNATIONAL INFLUENCE
China's rapid economic development, Paulino said, means its opinions on
any subject, from the reorganization of the international financial system to
the environment and world security, "are listened to attentively by all
countries and leaders in the world."
If that shows recognition of China's strength, the professor said, it
also means a great responsibility because what happens in China has
increasing repercussions on the rest of the planet.
Countries such as the United States and Great Britain became world powers
when they were already relatively rich, and that allowed them to make certain
concessions to exercise their leadership. China, Paulino said, is becoming a
power but is still a developing country.
"This is a great contradiction which poses a double challenge for China:
worrying about its internal development and about the repercussions of its
policies in the rest of the world," the professor said.
He said that it's necessary for China to develop a healthy and positive
relationship with the rest of the world.
"China has one fifth of the world's population, and its culture and
civilization have great contributions to the progress of the humanity,"
Paulino said. "China's cooperation with all countries with mutual respect
fits its position and will promote the balanced global development."
China's fiscal revenue in May signals recovery
An increase in China's fiscal revenue in May
indicates a recovery in the economy and leave the government more room to
employ fiscal measures to boost it, Tuesday's China Daily quoted experts.
The country's fiscal revenue in May rose 4.8 percent year on year to
656.95 billion yuan (96.05 billion U.S. dollars), reversing the downward
trend of the past few months, the Ministry of Finance (MOF) said yesterday.
Aggregate central and local government revenues in the first five months
stood at 2.71 trillion yuan, down 6.7 per cent from a year earlier.
"The rise in May is a signal that the economy is recovering. Hopefully,
starting from May, the national fiscal revenue would begin to show positive
growth," the newspaper quoted Jia Kang, president of the Institute of Fiscal
Science, Ministry of Finance, as saying.
Another expert from the same institute attributed the reason of May's
rise to the launch of many projects included in the 4-trillion yuan stimulus
plan.
"Though the stimulus plan was announced in November, many of projects
were actually launched in spring, and is now starting to contribute to the
economic growth," said Zhao Quanhou, a senior researcher at the institute,
told the newspaper.
Experts believe that May revenue increase gives much room for the
treasury to use more fiscal measures to bolster the economy, but there still
is huge pressure on the government to realize an 8per cent revenue growth in
2009.
"The key period is from June to October. We need to watch closely the
figures in the coming months, and see if the economy is really starting to
recover," said Zhao.
China expects to see a 8 per cent fiscal revenue growth in 2009,much
slower than previous years. Its revenue increased by 18.8 percent in 2008 and
32.4 per cent in 2007.
Special Report: Global Financial Crisis
indicates a recovery in the economy and leave the government more room to
employ fiscal measures to boost it, Tuesday's China Daily quoted experts.
The country's fiscal revenue in May rose 4.8 percent year on year to
656.95 billion yuan (96.05 billion U.S. dollars), reversing the downward
trend of the past few months, the Ministry of Finance (MOF) said yesterday.
Aggregate central and local government revenues in the first five months
stood at 2.71 trillion yuan, down 6.7 per cent from a year earlier.
"The rise in May is a signal that the economy is recovering. Hopefully,
starting from May, the national fiscal revenue would begin to show positive
growth," the newspaper quoted Jia Kang, president of the Institute of Fiscal
Science, Ministry of Finance, as saying.
Another expert from the same institute attributed the reason of May's
rise to the launch of many projects included in the 4-trillion yuan stimulus
plan.
"Though the stimulus plan was announced in November, many of projects
were actually launched in spring, and is now starting to contribute to the
economic growth," said Zhao Quanhou, a senior researcher at the institute,
told the newspaper.
Experts believe that May revenue increase gives much room for the
treasury to use more fiscal measures to bolster the economy, but there still
is huge pressure on the government to realize an 8per cent revenue growth in
2009.
"The key period is from June to October. We need to watch closely the
figures in the coming months, and see if the economy is really starting to
recover," said Zhao.
China expects to see a 8 per cent fiscal revenue growth in 2009,much
slower than previous years. Its revenue increased by 18.8 percent in 2008 and
32.4 per cent in 2007.
Special Report: Global Financial Crisis
China's experience provides development lessons for world
The 60 years of experience of New
China has provided important lessons to the world on how to achieve a
balanced and pragmatic national development, Brazilian economist Luis Antonio
Paulino said on Thursday.
Paulino, an economics professor at Sao Paulo State University and head of
the university's Confucius Institute, said the history of the People's
Republic of China can be divided into two phases: the search for economic
self-sufficiency and the reform and opening process.
Economic self-sufficiency was pursued through a policy of isolation from
the global economy, while the opening up process, which started in 1978,
caused a significant change in the country.
Paulino said the period of 1949-1978 was extremely difficult for the
Chinese people.
"The task of modernizing a country as large as China, with an enormous
population, an underdeveloped economy and an unbalanced regional development,
demanded great sacrifices from the people and great leadership from the
Chinese Communist Party to keep the people united," he said.
The second period, which started from 1978 to the present day, was the
period of reform and opening up and its main figure was Deng Xiaoping.
"During this period, China carried out large reforms in both cities and
rural areas as well as in different economic sectors," Paulino said.
China "opened its economy to the world, releasing the creative energy of
millions of people and carrying out a historical transformation from a
planned economy to a viable socialist market economy completely integrated
into the global economy," he said.
Paulino said one of the great occurrences of this period was the adoption
of the reform and opening up policy at the Third Plenary Session of the 11th
Central Committee of the Communist Party in late 1978.
Another event was Deng's visit to the Chinese city of Shenzhen in 1992,
in which he delivered a speech to local leaders emphasizing the necessity of
pursuing a new way to socialism with Chinese characteristics.
"Since then, China has undergone significant changes, and all who visit
China are amazed because they find a vigorous society, a people proud of
their culture and traditions and committed to the future," Paulino said.
He said the 60 years since the founding of New China has provided several
lessons. The first, there are no ready-made formulas for this development.
The second, it is necessary to have courage, not to stay tied to dogma, to
keep to the facts, and always look at the practical aspects as a criterion of
truth.
The third lesson, ideas have consequences: there can be no development
without an ideology of national development.
The fourth lesson, people are capable of making great efforts and
sacrifices to develop the country if they trust their leaders and realize
that their efforts will benefit all people.
The Brazilian professor also emphasized the role of people's initiative,
which according to him must be valued and repaid.
"The fifth lesson is that it is necessary to value the individual
initiative, to release people's creative energy, not suffocate their
entrepreneur spirit and allow their efforts to be rightfully recognized by
the society. This results in an improvement in life's conditions," Paulino
said.
China has provided important lessons to the world on how to achieve a
balanced and pragmatic national development, Brazilian economist Luis Antonio
Paulino said on Thursday.
Paulino, an economics professor at Sao Paulo State University and head of
the university's Confucius Institute, said the history of the People's
Republic of China can be divided into two phases: the search for economic
self-sufficiency and the reform and opening process.
Economic self-sufficiency was pursued through a policy of isolation from
the global economy, while the opening up process, which started in 1978,
caused a significant change in the country.
Paulino said the period of 1949-1978 was extremely difficult for the
Chinese people.
"The task of modernizing a country as large as China, with an enormous
population, an underdeveloped economy and an unbalanced regional development,
demanded great sacrifices from the people and great leadership from the
Chinese Communist Party to keep the people united," he said.
The second period, which started from 1978 to the present day, was the
period of reform and opening up and its main figure was Deng Xiaoping.
"During this period, China carried out large reforms in both cities and
rural areas as well as in different economic sectors," Paulino said.
China "opened its economy to the world, releasing the creative energy of
millions of people and carrying out a historical transformation from a
planned economy to a viable socialist market economy completely integrated
into the global economy," he said.
Paulino said one of the great occurrences of this period was the adoption
of the reform and opening up policy at the Third Plenary Session of the 11th
Central Committee of the Communist Party in late 1978.
Another event was Deng's visit to the Chinese city of Shenzhen in 1992,
in which he delivered a speech to local leaders emphasizing the necessity of
pursuing a new way to socialism with Chinese characteristics.
"Since then, China has undergone significant changes, and all who visit
China are amazed because they find a vigorous society, a people proud of
their culture and traditions and committed to the future," Paulino said.
He said the 60 years since the founding of New China has provided several
lessons. The first, there are no ready-made formulas for this development.
The second, it is necessary to have courage, not to stay tied to dogma, to
keep to the facts, and always look at the practical aspects as a criterion of
truth.
The third lesson, ideas have consequences: there can be no development
without an ideology of national development.
The fourth lesson, people are capable of making great efforts and
sacrifices to develop the country if they trust their leaders and realize
that their efforts will benefit all people.
The Brazilian professor also emphasized the role of people's initiative,
which according to him must be valued and repaid.
"The fifth lesson is that it is necessary to value the individual
initiative, to release people's creative energy, not suffocate their
entrepreneur spirit and allow their efforts to be rightfully recognized by
the society. This results in an improvement in life's conditions," Paulino
said.
China's economy still waiting to return to full power
Special Report: Global Financial Crisis
BEIJING, April 20 (Xinhua) -- Most people are alarmed when their power
bills rise. But Wang Wenxu has been happily watching electricity consumption
increase at his company for the last two months.
Belt maker Chengda Belt, where Wang is a senior manager, is based in the
city of Wenzhou in eastern China, home to almost 300,000 small and medium-
sized
private export firms that manufacture everything from shoes to sunglasses for
consumers around the world.
Since the end of the Chinese Lunar New Year, Chengda has seen overseas
orders rise, assembly lines running at almost full capacity and more than 650
staff working overtime. More importantly, it's in profit again.
"In the last two months, total orders are 1 to 2 percent more than the
same
period last year," Wang says.
With production up, Chengda uses more electricity. In the last two
months,
Chengda paid 70,000 yuan (10,248 U.S. dollars) for almost 70,000 kilowatt-
hours
of power to produce up to 1.35 million belts each month.
In contrast, late last year when China's export industries were hard hit
by
plunging global demand due to the financial crisis, Chengda consumed just
20,000
kilowatt-hours a month.
"At that time, our foreign orders dropped by more than 40 percent. We
produced about 600,000 belts a month and for every belt, we lost 2 U.S.
dollars," Wang said.
At peak times before the export slump, Chengda consumed more than 80,000
kilowatt-hours of power and produced about 1.5 million belts a month, 80
percent
of which were shipped to American and European markets.
Power consumption is a closely watched early indicator of the vitality of
China's economy, because so much of the country's growth relies on
power-intensive industries such as steel, aluminum and chemicals. Power
consumption closely tracks the true pace of industrial activity since
industries
account for 74 percent of the total.
As many factories like Chengda resume production at part or full
capacity,
China's power consumption has picked up gradually in the last two months, in
one
of the key indicators that economists and officials said the Chinese economy
had
bottomed out.
The China Electricity Council (CEC) announced on April 14 that power
consumption stood at 283.4 billion kilowatt-hours in March, a drop of 2.01
percent from a year earlier, but a jump of 15 percent from February's 245.5
billion kilowatt-hours.
In the first quarter, power consumption totaled 781 billion kilowatt-
hours,
down 4.02 percent from a year earlier, a milder decline than the 5.22 percent
year-on-year slump in the first two months.
The CEC figures show China's monthly power consumption began to contract
in
October last year, when the country consumed 269.9 billion kilowatt-hours, a
decline of 3.7 percent year on year.
In the following two months as the global financial crisis hit harder,
the
downward pace of demand accelerated. In November, consumption was 256.2
billion
kilowatt-hours, down 8.6 percent, and in December it was 273.7 billion
kilowatt-hours, a drop of 8.93 percent.
Wang Zejun, an industry analyst with Beijing-based Huarong Securities,
said
consumption rose in February and March as construction began on many projects
in
the 4-trillion-yuan stimulus plan.
It was also a result of a series of aggressive measures taken by the
government to stimulate the economy, including export tax rebates, which
allowed
Chengda Belt to raise profit margins while slightly cutting prices.
Wang Wenxu says that rise in orders is partly due to the closure of many
smaller belt-making companies since late last year and overseas buyers moving
orders to bigger firms like Chengda.
BEIJING, April 20 (Xinhua) -- Most people are alarmed when their power
bills rise. But Wang Wenxu has been happily watching electricity consumption
increase at his company for the last two months.
Belt maker Chengda Belt, where Wang is a senior manager, is based in the
city of Wenzhou in eastern China, home to almost 300,000 small and medium-
sized
private export firms that manufacture everything from shoes to sunglasses for
consumers around the world.
Since the end of the Chinese Lunar New Year, Chengda has seen overseas
orders rise, assembly lines running at almost full capacity and more than 650
staff working overtime. More importantly, it's in profit again.
"In the last two months, total orders are 1 to 2 percent more than the
same
period last year," Wang says.
With production up, Chengda uses more electricity. In the last two
months,
Chengda paid 70,000 yuan (10,248 U.S. dollars) for almost 70,000 kilowatt-
hours
of power to produce up to 1.35 million belts each month.
In contrast, late last year when China's export industries were hard hit
by
plunging global demand due to the financial crisis, Chengda consumed just
20,000
kilowatt-hours a month.
"At that time, our foreign orders dropped by more than 40 percent. We
produced about 600,000 belts a month and for every belt, we lost 2 U.S.
dollars," Wang said.
At peak times before the export slump, Chengda consumed more than 80,000
kilowatt-hours of power and produced about 1.5 million belts a month, 80
percent
of which were shipped to American and European markets.
Power consumption is a closely watched early indicator of the vitality of
China's economy, because so much of the country's growth relies on
power-intensive industries such as steel, aluminum and chemicals. Power
consumption closely tracks the true pace of industrial activity since
industries
account for 74 percent of the total.
As many factories like Chengda resume production at part or full
capacity,
China's power consumption has picked up gradually in the last two months, in
one
of the key indicators that economists and officials said the Chinese economy
had
bottomed out.
The China Electricity Council (CEC) announced on April 14 that power
consumption stood at 283.4 billion kilowatt-hours in March, a drop of 2.01
percent from a year earlier, but a jump of 15 percent from February's 245.5
billion kilowatt-hours.
In the first quarter, power consumption totaled 781 billion kilowatt-
hours,
down 4.02 percent from a year earlier, a milder decline than the 5.22 percent
year-on-year slump in the first two months.
The CEC figures show China's monthly power consumption began to contract
in
October last year, when the country consumed 269.9 billion kilowatt-hours, a
decline of 3.7 percent year on year.
In the following two months as the global financial crisis hit harder,
the
downward pace of demand accelerated. In November, consumption was 256.2
billion
kilowatt-hours, down 8.6 percent, and in December it was 273.7 billion
kilowatt-hours, a drop of 8.93 percent.
Wang Zejun, an industry analyst with Beijing-based Huarong Securities,
said
consumption rose in February and March as construction began on many projects
in
the 4-trillion-yuan stimulus plan.
It was also a result of a series of aggressive measures taken by the
government to stimulate the economy, including export tax rebates, which
allowed
Chengda Belt to raise profit margins while slightly cutting prices.
Wang Wenxu says that rise in orders is partly due to the closure of many
smaller belt-making companies since late last year and overseas buyers moving
orders to bigger firms like Chengda.
China's economy sees emerging V-shape recovery
BEIJING, July 6 -- Faced with a severe economic downturn at the end of
last year and the beginning of this year, people are debating intensely the
prospects of the Chinese economy. However, there is increasing evidence to
indicate that the ongoing recovery is likely to be V-shaped.
Factual evidence of a strong rebound can be found in China's steel
output, electricity production, industrial value added, foreign trade as well
as the Shanghai Exchange's A share index which has jumped by 65 percent so
far this year. China's surprising pent-up automobile sales amid the global
recession shows that no matter how radical a prediction about the Chinese
economy is, it still risks being too conservative. The country is now set to
break the mark of selling 10 million new cars in a year. Yet not so long ago
it was still deemed too optimistic to expect that the country's car sales can
reach that figure by 2015.
What explains China's rapid recovery?
One is the country's policy mix of demand stimulus, wherein the overall
demand stimulus policy is effectively supported by pro-active fiscal and
monetary polices. Second, strong fundamental factors like China's development
stage advantage and sound balance sheets and financial strength have also
hastened the recovery.
In July 2008, the Chinese government had already shifted its policy focus
from preventing economic overheating and inflation to maintaining stable
growth and control price growth. Then, 10 stimulus measures were announced in
November 5, 2008.
The policies for resolving can be divided into three major categories.
In the first category fall the pro-active fiscal policies with sweeping
tax cuts and massive investment. On the one hand, China has reduced tax on
housing transaction and purchase of car; introduced tax reform to allow
rebates on VAT for investment goods; and, increased the ratio of tax rebates
for various exports. On the other hand, the country has kick-started a "4-
trillion-yuan ($585 billion) investment plan".
Second, pro-active monetary policies have been adopted to bring down
interest rates from 7.2 percent to 5.31 percent for 1-year loans, and from
3.87 percent to 2.25 percent for 1-year deposits. Required reserve rate was
cut down from 17.5 percent to 14.5 percent while quantitative control on
credit was abolished.
Third, the State Council announced industrial promoting plans for 10
targeted sectors including steel, automobile, textile, equipments, ship-
building, electronics and IT, light industries, oil and chemicals, non-
ferrous metals, and logistics and distribution.
Extra-investments from "the 4-trillion-yuan plan" and huge credit
expansion have definitely played a crucial role in boosting the country's
aggregate demand. It was estimated that the plan would contribute one
percentage point of GDP growth during the period.
Why are the stimulus policies so effective?
The underlying reason is that China is still at the development stage of
rapid urbanization and industrialization. China has a ready demand for
infrastructural construction to support its ongoing urbanization and
industrialization. The sound domestic financial situation also helps a lot.
In short, the Chinese V-shaped recovery is the result of strong
government policies of massive investment and credit expansion. It is
supported by uniquely favorable fundamental factors in terms of developmental
stage combined with the financial soundness of the basic sectors of the
economy.
The case has several implications for Chinese policymakers.
First, the expected strong recovery is likely to confirm that China does
not have to excessively rely on external demand. A growing trade surplus is
not a necessary condition for generating sufficient demand to match the
growth of potential supply. Second, on managing demand, policymakers should
realize that insufficient aggregate demand might cause a lot of problems,
especially if it is the consequence of a balance sheet crisis. But, the
government commands effective policy instruments to boost demand.
Finally, it is the importance of further reform. Deepening reform and
structural change is the long-term priority for achieving China's sustainable
growth. The country needs to press ahead with market-oriented reform in land
system, resource price, and market access for non-SOEs. It should also
establish a holistic management regime consistent with the open macro-economy
through reform of interest rate and exchange rate system. And, social reform
and structural adjustment in areas of social security, health systems, and
environmental protection cannot be delayed any longer.
(Excerpts from a speech delivered at the 11th NBER-CCER conference. The
author is a professor with China Center for Economic Research of Peking
University. )
(Source: China Daily)
last year and the beginning of this year, people are debating intensely the
prospects of the Chinese economy. However, there is increasing evidence to
indicate that the ongoing recovery is likely to be V-shaped.
Factual evidence of a strong rebound can be found in China's steel
output, electricity production, industrial value added, foreign trade as well
as the Shanghai Exchange's A share index which has jumped by 65 percent so
far this year. China's surprising pent-up automobile sales amid the global
recession shows that no matter how radical a prediction about the Chinese
economy is, it still risks being too conservative. The country is now set to
break the mark of selling 10 million new cars in a year. Yet not so long ago
it was still deemed too optimistic to expect that the country's car sales can
reach that figure by 2015.
What explains China's rapid recovery?
One is the country's policy mix of demand stimulus, wherein the overall
demand stimulus policy is effectively supported by pro-active fiscal and
monetary polices. Second, strong fundamental factors like China's development
stage advantage and sound balance sheets and financial strength have also
hastened the recovery.
In July 2008, the Chinese government had already shifted its policy focus
from preventing economic overheating and inflation to maintaining stable
growth and control price growth. Then, 10 stimulus measures were announced in
November 5, 2008.
The policies for resolving can be divided into three major categories.
In the first category fall the pro-active fiscal policies with sweeping
tax cuts and massive investment. On the one hand, China has reduced tax on
housing transaction and purchase of car; introduced tax reform to allow
rebates on VAT for investment goods; and, increased the ratio of tax rebates
for various exports. On the other hand, the country has kick-started a "4-
trillion-yuan ($585 billion) investment plan".
Second, pro-active monetary policies have been adopted to bring down
interest rates from 7.2 percent to 5.31 percent for 1-year loans, and from
3.87 percent to 2.25 percent for 1-year deposits. Required reserve rate was
cut down from 17.5 percent to 14.5 percent while quantitative control on
credit was abolished.
Third, the State Council announced industrial promoting plans for 10
targeted sectors including steel, automobile, textile, equipments, ship-
building, electronics and IT, light industries, oil and chemicals, non-
ferrous metals, and logistics and distribution.
Extra-investments from "the 4-trillion-yuan plan" and huge credit
expansion have definitely played a crucial role in boosting the country's
aggregate demand. It was estimated that the plan would contribute one
percentage point of GDP growth during the period.
Why are the stimulus policies so effective?
The underlying reason is that China is still at the development stage of
rapid urbanization and industrialization. China has a ready demand for
infrastructural construction to support its ongoing urbanization and
industrialization. The sound domestic financial situation also helps a lot.
In short, the Chinese V-shaped recovery is the result of strong
government policies of massive investment and credit expansion. It is
supported by uniquely favorable fundamental factors in terms of developmental
stage combined with the financial soundness of the basic sectors of the
economy.
The case has several implications for Chinese policymakers.
First, the expected strong recovery is likely to confirm that China does
not have to excessively rely on external demand. A growing trade surplus is
not a necessary condition for generating sufficient demand to match the
growth of potential supply. Second, on managing demand, policymakers should
realize that insufficient aggregate demand might cause a lot of problems,
especially if it is the consequence of a balance sheet crisis. But, the
government commands effective policy instruments to boost demand.
Finally, it is the importance of further reform. Deepening reform and
structural change is the long-term priority for achieving China's sustainable
growth. The country needs to press ahead with market-oriented reform in land
system, resource price, and market access for non-SOEs. It should also
establish a holistic management regime consistent with the open macro-economy
through reform of interest rate and exchange rate system. And, social reform
and structural adjustment in areas of social security, health systems, and
environmental protection cannot be delayed any longer.
(Excerpts from a speech delivered at the 11th NBER-CCER conference. The
author is a professor with China Center for Economic Research of Peking
University. )
(Source: China Daily)
China's economic recovery to be sustainable: economist
Fan Gang, China's renowned economist and central bank advisor, said Wednesday that China's economic recovery is poised to make a U-turn.
Fan, director of the National Economic Research Institute, made the comment at a financial forum organized by Globe, a biweekly magazine run by Xinhua News Agency.
"I believe the current recovery has been confirmed and can be sustained," said Fan, also a member of the monetary policy committee of the People's Bank of China, the country's central bank.
Fan said he was optimistic about China's economic recovery, adding that the recovery would take the shape of a narrow-bottomed "U", instead of an "L", indicating a period of continued slow growth, or a "W", marking fluctuations in the recovery.
Fan said the country's response to the financial crisis, including a 4-trillion-yuan stimulus package and a record budgeted deficit of 950 billion yuan (139 billion U.S. dollars) for 2009, would be sufficient to sustain a certain growth despite the slowdown.
He forecast that investment from the private sector would become active again next year following huge government investment.
Fan also said that China's slowdown reflected its own growth cycle, from showing signs of overheating in 2004 and 2005 to slower growth later on, partly in response to government moves to prevent the economy from overheating.
He added that it was misinterpretation to say China's slowdown was solely a result of a slump in global demand.
China's GDP growth slowed to 9 percent in the third quarter of 2008, then slumped to 6.8 percent in the fourth quarter and further down to 6.1 percent in the first quarter of 2009.
Economists and officials are expecting a higher growth for the second quarter, compared with that of the first quarter. The government is scheduled to released the official figure in mid July.
Latest statistics seemed to suggest a clear recovering trend, as China's Purchasing Managers' Index (PMI), which includes a package of indices that measure economic performance, stood at 53.2 percent in June, according to the China Federation of Logistics and Purchasing.
The figure was up 0.1 percentage points from May. A reading of above 50 suggests expansion, while below 50 indicates contraction.
Premier Wen Jiabao said on June 17 that China's economy was at a critical moment as it had begun to recover "steadily".
A week later, the National Bureau of Statistics said the slowdown in the world's third largest economy had bottomed out and it was expected to grow about 8 percent in the second quarter.
Fan, director of the National Economic Research Institute, made the comment at a financial forum organized by Globe, a biweekly magazine run by Xinhua News Agency.
"I believe the current recovery has been confirmed and can be sustained," said Fan, also a member of the monetary policy committee of the People's Bank of China, the country's central bank.
Fan said he was optimistic about China's economic recovery, adding that the recovery would take the shape of a narrow-bottomed "U", instead of an "L", indicating a period of continued slow growth, or a "W", marking fluctuations in the recovery.
Fan said the country's response to the financial crisis, including a 4-trillion-yuan stimulus package and a record budgeted deficit of 950 billion yuan (139 billion U.S. dollars) for 2009, would be sufficient to sustain a certain growth despite the slowdown.
He forecast that investment from the private sector would become active again next year following huge government investment.
Fan also said that China's slowdown reflected its own growth cycle, from showing signs of overheating in 2004 and 2005 to slower growth later on, partly in response to government moves to prevent the economy from overheating.
He added that it was misinterpretation to say China's slowdown was solely a result of a slump in global demand.
China's GDP growth slowed to 9 percent in the third quarter of 2008, then slumped to 6.8 percent in the fourth quarter and further down to 6.1 percent in the first quarter of 2009.
Economists and officials are expecting a higher growth for the second quarter, compared with that of the first quarter. The government is scheduled to released the official figure in mid July.
Latest statistics seemed to suggest a clear recovering trend, as China's Purchasing Managers' Index (PMI), which includes a package of indices that measure economic performance, stood at 53.2 percent in June, according to the China Federation of Logistics and Purchasing.
The figure was up 0.1 percentage points from May. A reading of above 50 suggests expansion, while below 50 indicates contraction.
Premier Wen Jiabao said on June 17 that China's economy was at a critical moment as it had begun to recover "steadily".
A week later, the National Bureau of Statistics said the slowdown in the world's third largest economy had bottomed out and it was expected to grow about 8 percent in the second quarter.
China's CPI to turn positive in Q3: HSBC Chief Economist
With stimulus
policies contributing effectively to recovery and domestic demand ever
growing, China's consumer price index (CPI) will start to turn positive in the
third quarter of 2009, predicted Qu Hongbin, Chief Economist for HSBC.
Speaking at the Spring Membership Meeting of the
Institute of International Finance Wednesday, Qu is optimistic
about the CPI trend in China based upon the economic data
released by the National Bureau of Statistics(NBS).
"The CPI decline in May is mainly caused by the falling
price of commodities from the price hike early last year," said Qu.
"Currently, the price of communities has turned up from
the lowest point, therefore CPI will bottom out and turn positive in the third
quarter, which will also be consolidated by growing domestic demand and the
recovery of economy," Qu added.
CPI in May fell 1.4 percent year on year, the fourth
consecutive monthly decline since the index dropped 1.6 percent in February, the
first fall after October 2002, according to NBS.
Compared with the fall of 1.5 percent year on year in
April, the May decline was slightly slowed -- a sign of a sustained economic
recovery, according to Qu.
To support his positive view on China's recovery, he
cited several figures: fixed asset investment jumped 30.5 percent in
the four months, industrial output grew 7.3 percent in April, consumer
spending, as gauged in retail sales, expanded 14.8 percent year on year in
April, and the property prices in 70 large and medium-sized cities shrank
to 0.6 percent year-on-year in May from 1.1 percent in April.
This obviously proves the Chinese government's 4
trillion yuan investment plan has started to take effect, Qu concluded,
adding its GDP growth in the second half of the year will exceed 8 percent.
China reports slower decline in May
CPI, indicating continuing recovery
Graphics shows China's consumer price
index (CPI) in May fell 1.4 percent year-on-year, the National Bureau of
Statistics of China announced on June 10, 2009. (Xinhua/Zhang
Liyun)
Photo
Gallery>>>
by Xinhua writers Chen Yongrong and Huang Xin
BEIJING, June 10 (Xinhua) -- China's consumer price
index (CPI), the main gauge of inflation, in May fell 1.4 percent year on year,
the National Bureau of Statistics (NBS) announced Wednesday.
This marks the fourth consecutive monthly decline
since the index dropped 1.6 percent in February, the first fall since October
2002. However, the decline was 0.1 percentage points lower than the April level.
Full story
policies contributing effectively to recovery and domestic demand ever
growing, China's consumer price index (CPI) will start to turn positive in the
third quarter of 2009, predicted Qu Hongbin, Chief Economist for HSBC.
Speaking at the Spring Membership Meeting of the
Institute of International Finance Wednesday, Qu is optimistic
about the CPI trend in China based upon the economic data
released by the National Bureau of Statistics(NBS).
"The CPI decline in May is mainly caused by the falling
price of commodities from the price hike early last year," said Qu.
"Currently, the price of communities has turned up from
the lowest point, therefore CPI will bottom out and turn positive in the third
quarter, which will also be consolidated by growing domestic demand and the
recovery of economy," Qu added.
CPI in May fell 1.4 percent year on year, the fourth
consecutive monthly decline since the index dropped 1.6 percent in February, the
first fall after October 2002, according to NBS.
Compared with the fall of 1.5 percent year on year in
April, the May decline was slightly slowed -- a sign of a sustained economic
recovery, according to Qu.
To support his positive view on China's recovery, he
cited several figures: fixed asset investment jumped 30.5 percent in
the four months, industrial output grew 7.3 percent in April, consumer
spending, as gauged in retail sales, expanded 14.8 percent year on year in
April, and the property prices in 70 large and medium-sized cities shrank
to 0.6 percent year-on-year in May from 1.1 percent in April.
This obviously proves the Chinese government's 4
trillion yuan investment plan has started to take effect, Qu concluded,
adding its GDP growth in the second half of the year will exceed 8 percent.
China reports slower decline in May
CPI, indicating continuing recovery
Graphics shows China's consumer price
index (CPI) in May fell 1.4 percent year-on-year, the National Bureau of
Statistics of China announced on June 10, 2009. (Xinhua/Zhang
Liyun)
Photo
Gallery>>>
by Xinhua writers Chen Yongrong and Huang Xin
BEIJING, June 10 (Xinhua) -- China's consumer price
index (CPI), the main gauge of inflation, in May fell 1.4 percent year on year,
the National Bureau of Statistics (NBS) announced Wednesday.
This marks the fourth consecutive monthly decline
since the index dropped 1.6 percent in February, the first fall since October
2002. However, the decline was 0.1 percentage points lower than the April level.
Full story
China's Ambassador to UK: Unity rooted deep in China's blood
The July 5 violence in Urumqi, capital of China's northwest Xinjiang Uygur Autonomous Region, has been horrific, but it is wrong to frame it as an ethnic conflict, said Fu Ying, the Ambassador of China to the United Kingdom.
In an article titled "Unity is deep in China's blood" carried by the Guardian newspaper on Monday, the ambassador said that different ethnic groups in Xinjiang have lived side by side for centuries like one big family.
Xinjiang's 21 million population now comprises 47 ethnic groups, the largest being the Uygurs, who account for 45.7 percent of the population of the region, followed by the Hans, and many others such as Kazaks, Huis, Kyrgyz, Mongolians, Tajiks, Sibes, Manchus, Uzbeks, Russians, Daurs, and Tartars.
Millions of Muslims live there and there are 23,000 mosques. There are also Buddhist temples and churches.
The relationship between the ethnic groups has been generally amicable, though, as in all families and multi-ethnic communities, frictions occasionally happen, said the ambassador in the article.
"We call such frictions 'problems among people', meaning they can be solved through coordination and are not a life-or-death struggle. That is why the violence in Urumqi on July 5, leaving more than 180 people dead and more than 1,000 injured, came as a shock," said the ambassador.
Some blamed it on an earlier criminal case in the southern province of Guangdong, which was largely fanned by a rumour, but that case had been handled and the suspects detained, and this can in no way justify the horrific acts of rioters in Urumqi who, armed with sticks, knives and big stones, went on a killing rampage against innocent people, she said.
A brawl between Han and Uygur workers at a toy factory in Guangdong on June 26 was suspected to have been used by rioters to create chaos.
There is well-grounded concern that external incitement and organization played a big part in orchestrating the violence, and therefore, framing it as "ethnic conflict" is a wrong way of looking
at the issue, which may also drive a wedge between ethnic groups, she said.
Instead, "the incident was reminiscent of terrorist violence in Urumqi and other cities in Xinjiang in the past decade or more. Some of these terrorists were sent to train and fight in Afghanistan. A few ended up in Guantanamo Bay. Investigation into the July 5 incident is ongoing and those who committed crimes will face the law," she said.
Now calm is being restored. People of all ethnic groups including the Uygurs are firmly against violence and long for resuming normal life.
Xinjiang has been growing as fast as the rest of China. With its history, its scenic beauty, and most of all, its diverse culture and warm, jovial and hospitable people, Xinjiang fascinated people from all over China and the world. Last year it was visited by 22 million tourists, including 360,000 from abroad, said the ambassador.
Many people from other parts of the country work there, especially during the cotton harvest, and people from Xinjiang also work, trade and study all over the country. Xinjiang restaurants are very popular in Beijing, she said in the article.
Freedom of movement and migration is a basic human right and a sign of China's development and progress, she added.
"Throughout the centuries, China has been a multi-ethnic society connected by a commitment to unity, prosperity and harmony. Unity is deep in the blood. That is where our strength lies, and forms the basis for China's interaction with the international community," the ambassador concluded.
Urumqi Riot
In an article titled "Unity is deep in China's blood" carried by the Guardian newspaper on Monday, the ambassador said that different ethnic groups in Xinjiang have lived side by side for centuries like one big family.
Xinjiang's 21 million population now comprises 47 ethnic groups, the largest being the Uygurs, who account for 45.7 percent of the population of the region, followed by the Hans, and many others such as Kazaks, Huis, Kyrgyz, Mongolians, Tajiks, Sibes, Manchus, Uzbeks, Russians, Daurs, and Tartars.
Millions of Muslims live there and there are 23,000 mosques. There are also Buddhist temples and churches.
The relationship between the ethnic groups has been generally amicable, though, as in all families and multi-ethnic communities, frictions occasionally happen, said the ambassador in the article.
"We call such frictions 'problems among people', meaning they can be solved through coordination and are not a life-or-death struggle. That is why the violence in Urumqi on July 5, leaving more than 180 people dead and more than 1,000 injured, came as a shock," said the ambassador.
Some blamed it on an earlier criminal case in the southern province of Guangdong, which was largely fanned by a rumour, but that case had been handled and the suspects detained, and this can in no way justify the horrific acts of rioters in Urumqi who, armed with sticks, knives and big stones, went on a killing rampage against innocent people, she said.
A brawl between Han and Uygur workers at a toy factory in Guangdong on June 26 was suspected to have been used by rioters to create chaos.
There is well-grounded concern that external incitement and organization played a big part in orchestrating the violence, and therefore, framing it as "ethnic conflict" is a wrong way of looking
at the issue, which may also drive a wedge between ethnic groups, she said.
Instead, "the incident was reminiscent of terrorist violence in Urumqi and other cities in Xinjiang in the past decade or more. Some of these terrorists were sent to train and fight in Afghanistan. A few ended up in Guantanamo Bay. Investigation into the July 5 incident is ongoing and those who committed crimes will face the law," she said.
Now calm is being restored. People of all ethnic groups including the Uygurs are firmly against violence and long for resuming normal life.
Xinjiang has been growing as fast as the rest of China. With its history, its scenic beauty, and most of all, its diverse culture and warm, jovial and hospitable people, Xinjiang fascinated people from all over China and the world. Last year it was visited by 22 million tourists, including 360,000 from abroad, said the ambassador.
Many people from other parts of the country work there, especially during the cotton harvest, and people from Xinjiang also work, trade and study all over the country. Xinjiang restaurants are very popular in Beijing, she said in the article.
Freedom of movement and migration is a basic human right and a sign of China's development and progress, she added.
"Throughout the centuries, China has been a multi-ethnic society connected by a commitment to unity, prosperity and harmony. Unity is deep in the blood. That is where our strength lies, and forms the basis for China's interaction with the international community," the ambassador concluded.
Urumqi Riot
China, ASEAN will join hands to promote common development
?¤China remains fully confident about the prospects of China-ASEAN
cooperation.
?¤China's proposals include the signing of an
investment agreement.
?¤Expanded cooperation will help augment their ability
to tackle the crisis.
BEIJING, April 12 (Xinhua) -- The Chinese
government's proposals for strengthening cooperation with the Association of
Southeast Asian Nations (ASEAN) show that China remains fully confident about
the prospects of China-ASEAN cooperation.
During a meeting in Beijing with envoys of the 10
ASEAN countries, Chinese Foreign Minister Yang Jiechi briefed them about the
Chinese government's proposals for enhancing China-ASEAN cooperation in an
all-round way. Yang has just returned home from Thailand late Saturday where
scheduled ASEAN meetings were postponed due to domestic unrest in that country.
Chinese Foreign Minister Yang Jiechi (C)
meets with envoys of 10 members of the Association of Southeast Asian
Nations (ASEAN), in Beijing, capital of China, on April 12,
2009.(Xinhua/Yao Dawei)
Photo
Gallery>>>
China's
proposals for strengthening its cooperation with ASEAN include the signing of an
investment agreement. The agreement, which was scheduled to be signed during the
scheduled meetings, would be conducive to the establishment of the China-ASEAN
free trade area.
This demonstrates that that the series of relevant
measures China has already decided to adopt will remain unchanged and that China
has full confidence in the future of China-ASEAN friendly cooperation, despite
the postponement of ASEAN meetings.
Strengthening and deepening cooperation is the common
wish of the two sides, and is also an important avenue for fighting
protectionism and enhancing their ability to resist risks in the current
economic circumstances.
As close neighbors, China and ASEAN countries have
enjoyed increased cooperation in various areas. In the face of the global
financial crisis, it has become the consensus of both sides that they should
work together to ride out the present difficulties.
Expanded cooperation between China and ASEAN will
help augment their ability to tackle the crisis.
Making joint efforts to push for the signing of an
investment agreement displays the determination of both sides to promote trade
and investment liberalization, fight protectionism and achieve a win-win result.
Furthermore, the China-ASEAN free trade area, to be
completed in 2010, will play an important and profound role in further
strengthening China-ASEAN relations and boosting cooperation in the whole of
East Asia.
China and ASEAN countries are close and friendly
neighbors. The key to continued development of bilateral relations lies in
mutual trust, confidence and unremitting efforts.
Only with that can the two sides enjoy solid
cooperation and join hands in achieving sustainable development.
China rolls out assistance blueprint
for ASEAN
BEIJING, April
12 (Xinhua) -- Chinese Foreign Minister Yang Jiechi Sunday unveiled a
multi-billion-dollar package of aid and credit to enhance China-ASEAN
cooperation.
Yang met with envoys of the 10 ASEAN countries in Beijing
Sunday, fresh from his return from Thailand late Saturday where scheduled
Association of Southeast Asian Nations (ASEAN) meetings were postponed due to
Thailand's domestic unrest. Full story
Chinese FM: China shows sincerity, responsibility, confidence in
East Asian cooperation
BEIJING, April 11 (Xinhua) -- Chinese Premier Wen Jiabao's
attendance at the ASEAN-related summits has shown the Chinese government's
sincerity, responsibility and confidence in facilitating the East Asian
cooperation, Chinese Foreign Minister Yang Jiechi said on Saturday.
The summits related to the Association of Southeast Asian
Nations (ASEAN) are an important cooperative mechanism in the region. All the
participants hope the summits can reach consensus and yield a substantial
outcome, he said. Full story
Wen says China to keep cooperation with ASEAN, back its
integration
PATTAYA, Thailand, April 11 (Xinhua) -- Chinese Premier
Wen Jiabao told his Thai counterpart Abhisit Vejjajiva during a phone
conversation on Saturday that China attaches great importance to its relations
with ASEAN and will steadfastly strengthen the friendly and mutual beneficial
cooperation with ASEAN and support the ASEAN integration process. Full story
Wen says China's policies toward ASEAN
unchanged
PATTAYA, Thailand, April 11 (Xinhua) -- Chinese Premier
Wen Jiabao on Saturday told his Thai counterpart Abhisit Vejjajiva on phone that
China's policies on deepening the exchanges and cooperation with the ASEAN in
various fields, helping the ASEAN states overcome difficulties and pushing
forward the regional cooperation process remain unchanged. Full story
Chinese premier meets Thai
PM
PATTAYA, Thailand, April 11 (Xinhua) -- Chinese Premier
Wen Jiabao said on Saturday he regretted that the summits related to the
Association of Southeast Asian Nations (ASEAN) have been postponed, but he
understood the Thai government's decision.
As Thailand's friendly neighbor, China hopes Thailand's
domestic situation will return to normal at an early date, Wen said while
talking briefly with Thai Prime Minister Abhisit Vejjajiva, who
cooperation.
?¤China's proposals include the signing of an
investment agreement.
?¤Expanded cooperation will help augment their ability
to tackle the crisis.
BEIJING, April 12 (Xinhua) -- The Chinese
government's proposals for strengthening cooperation with the Association of
Southeast Asian Nations (ASEAN) show that China remains fully confident about
the prospects of China-ASEAN cooperation.
During a meeting in Beijing with envoys of the 10
ASEAN countries, Chinese Foreign Minister Yang Jiechi briefed them about the
Chinese government's proposals for enhancing China-ASEAN cooperation in an
all-round way. Yang has just returned home from Thailand late Saturday where
scheduled ASEAN meetings were postponed due to domestic unrest in that country.
Chinese Foreign Minister Yang Jiechi (C)
meets with envoys of 10 members of the Association of Southeast Asian
Nations (ASEAN), in Beijing, capital of China, on April 12,
2009.(Xinhua/Yao Dawei)
Photo
Gallery>>>
China's
proposals for strengthening its cooperation with ASEAN include the signing of an
investment agreement. The agreement, which was scheduled to be signed during the
scheduled meetings, would be conducive to the establishment of the China-ASEAN
free trade area.
This demonstrates that that the series of relevant
measures China has already decided to adopt will remain unchanged and that China
has full confidence in the future of China-ASEAN friendly cooperation, despite
the postponement of ASEAN meetings.
Strengthening and deepening cooperation is the common
wish of the two sides, and is also an important avenue for fighting
protectionism and enhancing their ability to resist risks in the current
economic circumstances.
As close neighbors, China and ASEAN countries have
enjoyed increased cooperation in various areas. In the face of the global
financial crisis, it has become the consensus of both sides that they should
work together to ride out the present difficulties.
Expanded cooperation between China and ASEAN will
help augment their ability to tackle the crisis.
Making joint efforts to push for the signing of an
investment agreement displays the determination of both sides to promote trade
and investment liberalization, fight protectionism and achieve a win-win result.
Furthermore, the China-ASEAN free trade area, to be
completed in 2010, will play an important and profound role in further
strengthening China-ASEAN relations and boosting cooperation in the whole of
East Asia.
China and ASEAN countries are close and friendly
neighbors. The key to continued development of bilateral relations lies in
mutual trust, confidence and unremitting efforts.
Only with that can the two sides enjoy solid
cooperation and join hands in achieving sustainable development.
China rolls out assistance blueprint
for ASEAN
BEIJING, April
12 (Xinhua) -- Chinese Foreign Minister Yang Jiechi Sunday unveiled a
multi-billion-dollar package of aid and credit to enhance China-ASEAN
cooperation.
Yang met with envoys of the 10 ASEAN countries in Beijing
Sunday, fresh from his return from Thailand late Saturday where scheduled
Association of Southeast Asian Nations (ASEAN) meetings were postponed due to
Thailand's domestic unrest. Full story
Chinese FM: China shows sincerity, responsibility, confidence in
East Asian cooperation
BEIJING, April 11 (Xinhua) -- Chinese Premier Wen Jiabao's
attendance at the ASEAN-related summits has shown the Chinese government's
sincerity, responsibility and confidence in facilitating the East Asian
cooperation, Chinese Foreign Minister Yang Jiechi said on Saturday.
The summits related to the Association of Southeast Asian
Nations (ASEAN) are an important cooperative mechanism in the region. All the
participants hope the summits can reach consensus and yield a substantial
outcome, he said. Full story
Wen says China to keep cooperation with ASEAN, back its
integration
PATTAYA, Thailand, April 11 (Xinhua) -- Chinese Premier
Wen Jiabao told his Thai counterpart Abhisit Vejjajiva during a phone
conversation on Saturday that China attaches great importance to its relations
with ASEAN and will steadfastly strengthen the friendly and mutual beneficial
cooperation with ASEAN and support the ASEAN integration process. Full story
Wen says China's policies toward ASEAN
unchanged
PATTAYA, Thailand, April 11 (Xinhua) -- Chinese Premier
Wen Jiabao on Saturday told his Thai counterpart Abhisit Vejjajiva on phone that
China's policies on deepening the exchanges and cooperation with the ASEAN in
various fields, helping the ASEAN states overcome difficulties and pushing
forward the regional cooperation process remain unchanged. Full story
Chinese premier meets Thai
PM
PATTAYA, Thailand, April 11 (Xinhua) -- Chinese Premier
Wen Jiabao said on Saturday he regretted that the summits related to the
Association of Southeast Asian Nations (ASEAN) have been postponed, but he
understood the Thai government's decision.
As Thailand's friendly neighbor, China hopes Thailand's
domestic situation will return to normal at an early date, Wen said while
talking briefly with Thai Prime Minister Abhisit Vejjajiva, who
China should spend more on social causes: ADB official
China should spend
more on social causes and less on infrastructure if it plans to introduce
another fiscal stimulus package to spur the economy, a senior Asian Development
Bank (ADB) official suggested on Thursday.
"The (Chinese) government should focus more on
spending that will benefit the low-income families and less on infrastructure if
there is another large fiscal stimulus package," said Lawrence Greenwood,
vice-president, ADB.
Social spending, Greenwood said, would have a
long-term impact in terms of stimulating domestic consumption as it will reduce
people's precautionary savings on items such as education and medical care.
Such spending, therefore, would help spur domestic
demand more effectively in export-dependant countries like China that are trying
to boost domestic consumption, Greenwood said.
Spending on education, to raise the labor skills and
productivity, is also important for economic growth, he said.
The spectacular economic growth China achieved in the
past few years, Greenwood said, is largely due to the increased productivity in
the country.
"This has been achieved by moving hundreds of
millions of farmers into industries, but such days are gone now," Greenwood
said.
Education and more labor mobility would increase
productivity, he said.
The Chinese government should also give more support
to small- and medium-sized enterprises (SMEs), open up more industries and
sectors and also create more jobs, he said, citing the examples of utility, air
services and retail sectors.
The ADB Vice-President, who once served as secretary
of the bureau of Economic and Business Affairs at the US State Department, said
it was not necessary for China to introduce more stimulus packages for the time
being.
"Continued robust implementation of the 4-trillion
yuan economic stimulus package" should be the focus at this stage, as the huge
economic boost measures have started to show initial results, Greenwood said,
referring to China's 6.1 percent GDP growth in the first quarter.
"The economy is slightly better than we expected and
there are small signs that the economy is recovering," Greenwood said, pointing
to the robust retail sales and strong fixed asset investment growth.
The slightly better than expected economy could give
the country "breathing space" to fine-tune its policy and transform its economic
structure, he said.
"But the country still faces challenges such as
falling exports and the major worry is on whether the momentum can be
sustained," Greenwood said.
(Source: China Daily)
more on social causes and less on infrastructure if it plans to introduce
another fiscal stimulus package to spur the economy, a senior Asian Development
Bank (ADB) official suggested on Thursday.
"The (Chinese) government should focus more on
spending that will benefit the low-income families and less on infrastructure if
there is another large fiscal stimulus package," said Lawrence Greenwood,
vice-president, ADB.
Social spending, Greenwood said, would have a
long-term impact in terms of stimulating domestic consumption as it will reduce
people's precautionary savings on items such as education and medical care.
Such spending, therefore, would help spur domestic
demand more effectively in export-dependant countries like China that are trying
to boost domestic consumption, Greenwood said.
Spending on education, to raise the labor skills and
productivity, is also important for economic growth, he said.
The spectacular economic growth China achieved in the
past few years, Greenwood said, is largely due to the increased productivity in
the country.
"This has been achieved by moving hundreds of
millions of farmers into industries, but such days are gone now," Greenwood
said.
Education and more labor mobility would increase
productivity, he said.
The Chinese government should also give more support
to small- and medium-sized enterprises (SMEs), open up more industries and
sectors and also create more jobs, he said, citing the examples of utility, air
services and retail sectors.
The ADB Vice-President, who once served as secretary
of the bureau of Economic and Business Affairs at the US State Department, said
it was not necessary for China to introduce more stimulus packages for the time
being.
"Continued robust implementation of the 4-trillion
yuan economic stimulus package" should be the focus at this stage, as the huge
economic boost measures have started to show initial results, Greenwood said,
referring to China's 6.1 percent GDP growth in the first quarter.
"The economy is slightly better than we expected and
there are small signs that the economy is recovering," Greenwood said, pointing
to the robust retail sales and strong fixed asset investment growth.
The slightly better than expected economy could give
the country "breathing space" to fine-tune its policy and transform its economic
structure, he said.
"But the country still faces challenges such as
falling exports and the major worry is on whether the momentum can be
sustained," Greenwood said.
(Source: China Daily)
China serves as "important pillar of strength" to world: Tanzanian statesman
China has been a long-term friend to the African and developing countries and played a constructive role in establishing a better world order and promoting justice of international system, a respected Tanzanian statesman said on Monday.
In an exclusive interview with Xinhua, Salim Ahmed Salim, former Secretary-General of the Organization of African Unity (OAU), now the African Union (AU), termed China as the "important pillar of strength" to stabilize the world order and make important contributions to the world peace.
As for the long-term good relations between the African countries and China, Salim said that the Chinese government established relations with African countries based on fundamental principles of mutual respect, self-independence and territorial integrity among others.
The Chinese government provided many assistance and support to African countries, for an example, the construction of the Tanzania-Zambia Railway in 1960s, which supported not only Tanzania and Zambia, but also the struggle of national liberation movement at that time in the whole African continent, the 67-year-old Salim noted.
The experienced politician also downplayed the voice of "Chinese threat" from some western countries, saying that "on the contrary, China has been making contributions to stabilize the world order".
On the China-Africa cooperation, Salim said that China was in Africa not from now, but already there when Africa were in need of help, refusing the report on China's rushing for resources in Africa.
Salim, who is also AU special Envoy for Darfur, commended China for its efforts to bring peace to Sudan's western region of Darfur and contribution to the unity of Africa.
On the effects of the current on-going economic crisis, Salim said the world are undergoing "difficult times " and suffering from the financial crisis, which first started from the United States and then developed into international crisis.
"It's time for rich countries and poor countries to cooperate closely to bring the economy to normalcy," he added, underscoring China's importance in stabilizing the world economy.
The high-spirited statesman also recalled his life as Tanzania's Ambassador to the People's Republic of China in 1969 and Tanzania's permanent representative to the United Nations in New York in 1970.
He elaborated how China's lawful seat in the United Nations was restored in 1971 as many African and Asian nations struggled to support China and exerted responsibility as there is only one China.
"China is back in the UN," many representatives who witnessed the event in the UN applauded when the resolution was adopted, while Salim himself couldn't help performing a dance to rejoice.
"The year of 1971 was a year of momentum, and there was an atmosphere of relief," he added, noting that China has been actively involved in the UN and other international affairs since then.
At the end of the interview, Salim expressed his congratulations to the Chinese people on the upcoming 60th founding anniversary of the People's Republic of China, lauding the political, economic and technological advancement in China in the past nearly 60 years.
"China today is a powerful country and also a modest country. We, the third-world, consider China's strength is our strength," the Tanzanian statesman concluded, expecting China continues to achieve growth and progress in various fields.
In an exclusive interview with Xinhua, Salim Ahmed Salim, former Secretary-General of the Organization of African Unity (OAU), now the African Union (AU), termed China as the "important pillar of strength" to stabilize the world order and make important contributions to the world peace.
As for the long-term good relations between the African countries and China, Salim said that the Chinese government established relations with African countries based on fundamental principles of mutual respect, self-independence and territorial integrity among others.
The Chinese government provided many assistance and support to African countries, for an example, the construction of the Tanzania-Zambia Railway in 1960s, which supported not only Tanzania and Zambia, but also the struggle of national liberation movement at that time in the whole African continent, the 67-year-old Salim noted.
The experienced politician also downplayed the voice of "Chinese threat" from some western countries, saying that "on the contrary, China has been making contributions to stabilize the world order".
On the China-Africa cooperation, Salim said that China was in Africa not from now, but already there when Africa were in need of help, refusing the report on China's rushing for resources in Africa.
Salim, who is also AU special Envoy for Darfur, commended China for its efforts to bring peace to Sudan's western region of Darfur and contribution to the unity of Africa.
On the effects of the current on-going economic crisis, Salim said the world are undergoing "difficult times " and suffering from the financial crisis, which first started from the United States and then developed into international crisis.
"It's time for rich countries and poor countries to cooperate closely to bring the economy to normalcy," he added, underscoring China's importance in stabilizing the world economy.
The high-spirited statesman also recalled his life as Tanzania's Ambassador to the People's Republic of China in 1969 and Tanzania's permanent representative to the United Nations in New York in 1970.
He elaborated how China's lawful seat in the United Nations was restored in 1971 as many African and Asian nations struggled to support China and exerted responsibility as there is only one China.
"China is back in the UN," many representatives who witnessed the event in the UN applauded when the resolution was adopted, while Salim himself couldn't help performing a dance to rejoice.
"The year of 1971 was a year of momentum, and there was an atmosphere of relief," he added, noting that China has been actively involved in the UN and other international affairs since then.
At the end of the interview, Salim expressed his congratulations to the Chinese people on the upcoming 60th founding anniversary of the People's Republic of China, lauding the political, economic and technological advancement in China in the past nearly 60 years.
"China today is a powerful country and also a modest country. We, the third-world, consider China's strength is our strength," the Tanzanian statesman concluded, expecting China continues to achieve growth and progress in various fields.
China sees initial results in boosting domestic consumption
China's domestic demand, as the government had long wished, has started to become more of a driving force for the country's economic growth than in the past.
Signs of a domestic consumption boost are apparent as people are spending more on domestic commodities, export falls, and the government plans for more consumption stimulus.
Data from the National Bureau of Statistics (NBS) last Wednesday showed that China's domestic consumption had maintained an upward trend since the beginning of the year. For example, China's retail sales rose 14.8 percent in April year on year. It was 0.1 percentage points higher than in March.
Rural spending, driven by a government rebate policy on home-appliance purchases and other commodities, grew by 16.7 percent in April, which was 2.8 percentage points higher than urban growth, according to NBS.
The booming property and auto market also showed the same trend as China became the world's largest vehicle market again with more than 1.15 million cars sold in April, up 25 percent from a year earlier.
In the housing sector, China's real-estate climate index was finally back to growth after ten months of decline. Property sales rose by 17.5 percent in acreage from a year earlier in the first four months of 2009.
The growth was 9.3 percentage points faster than the first quarter level.
"China's economic structure has started to enter a transforming period to a consumption-driven growth model," said Li Daokui, director of the Department of Finance at Tsinghua University.
SUSTAINED DOMESTIC DEMAND GROWTH
According to Li, economic growth of China's inland western and central regions, which relied less on export, had exceeded that of the coastal areas in the first quarter, reflecting a strong pull from domestic consumption and investment.
Data from regional statistics bureaus had shown that western and central China accounted for nine of the 11 provincial areas that had seen double-digit economic growth year on year in the first quarter.
Such growth was contrasted by coastal regions whose economy has been mainly driven by export, such as Shanghai, Zhejiang and Guangdong, gross domestic production (GDP) growth dropped to three- to- six percent.
"Domestic consumption, together with fixed assets investment, had become the main forces of China's economic recovery as export continues to weaken," Li told Xinhua.
His view was echoed by Zhang Liqun, a researcher with the Development Research Center of the State Council, a government think-tank, who said the continual growth in domestic consumption had provided "very strong" power for China's economy to move on.
China's surging loans also implied booming domestic consumption, as personal loans saw accelerating growth from 7.5 percent in January to 24.9 percent in April year on year, according to the central bank.
Lian Ping, chief economist with the Bank of Communications, said a personal loans surge showed that banks had begun to pay attention to consumer loans in a move to boost domestic demand.
With the same intention, China Securities Regulatory Commission (CSRC) announced this week that it plans to let non-deposit-taking institutions both home and overseas to offer consumer loans to Chinese citizens in pilot cities like Beijing, Shanghai and Tianjin.
According to CSRC's plan, debtors will be able to borrow loans so long as they are less than five times of their monthly income.
Government stimulus policies have been playing a big part in consumption growth, such as reducing purchase taxes for small cars and subsidies for farmers to buy agricultural equipment, said Yuan Gangming, an economic researcher at Tsinghua University.
EXPORT: WEAKENING, BUT SIGNIFICANT
In sharp contrast with the booming domestic market, China's export is facing continuous slump from the fourth quarter last year.
Exports fell 22.6 percent in April from a year earlier to 91.94billion U.S. dollars, steeper than the 17.1-percent decline in March, according to the General Administration of Customs.
Long-term orders had been continuously cut into smaller and shorter ones by foreign buyers, which would make exporters' benefits unstable and unsustained, according to a report on the Web site of the Ministry of Commerce (MOC).
Canton Fair, China's leading trade fair that ended early this month, saw export orders fall by 16.9 percent from last year.
However, the MOC report had stressed that stabilizing external demand was key to maintaining growth, as the "grim" impact could affect "all sectors" of the economy.
Sluggish external demand, which had a significant bearing on stabilizing exports and employment, could deter domestic investment and consumption for a long period, it said.
RESTRUCTURING: A LONG-TERM BATTLE
Despite favorable economic data on domestic demand, economists had warned that time for China to retool its economy for domestic consumption might be longer than expected.
"There is still a long way to go," said Li Daokui, pointing out that the infrastructure-focused government spending and rising domestic consumption could provide stable and continual energy to economic recovery, but it might not be the solution in the long run.
Consumption had been rising, but far from enough, as it had so far accounted for only 38 percent of China's GDP, which was not adequate to become a pillar for long-term growth, he said.
Xie Guozhong, economist and board member of Rosetta Stone Advisors, said during the second Lujiazui Forum over the weekend that consumption boosted mainly by government stimulus could only temporarily keep the economy from going down.
Economic restructuring would only be completed when consumers are provided with abundant fortune, which means the government needs to do more to increase family incomes, he said.
Coinciding with economists' opinions, the government is planning to move further on its way to a consumption-heavy growth model.
Wang Yiming, vice president of Academy of Macroeconomic Research under NDRC, pointed out that China's next step would be further consumption expansion through either offering direct purchase subsidies or perfecting social security system.
The government's affordable housing projects and further implementation of health care reform are included in building a perfect social security system, said Xu Lin, head of the Department of Fiscal and Financial Affairs, NDRC.
(Xinhua reporter Zhang Ran also contributed to this story)
Special Report: Global Financial Crisis
Signs of a domestic consumption boost are apparent as people are spending more on domestic commodities, export falls, and the government plans for more consumption stimulus.
Data from the National Bureau of Statistics (NBS) last Wednesday showed that China's domestic consumption had maintained an upward trend since the beginning of the year. For example, China's retail sales rose 14.8 percent in April year on year. It was 0.1 percentage points higher than in March.
Rural spending, driven by a government rebate policy on home-appliance purchases and other commodities, grew by 16.7 percent in April, which was 2.8 percentage points higher than urban growth, according to NBS.
The booming property and auto market also showed the same trend as China became the world's largest vehicle market again with more than 1.15 million cars sold in April, up 25 percent from a year earlier.
In the housing sector, China's real-estate climate index was finally back to growth after ten months of decline. Property sales rose by 17.5 percent in acreage from a year earlier in the first four months of 2009.
The growth was 9.3 percentage points faster than the first quarter level.
"China's economic structure has started to enter a transforming period to a consumption-driven growth model," said Li Daokui, director of the Department of Finance at Tsinghua University.
SUSTAINED DOMESTIC DEMAND GROWTH
According to Li, economic growth of China's inland western and central regions, which relied less on export, had exceeded that of the coastal areas in the first quarter, reflecting a strong pull from domestic consumption and investment.
Data from regional statistics bureaus had shown that western and central China accounted for nine of the 11 provincial areas that had seen double-digit economic growth year on year in the first quarter.
Such growth was contrasted by coastal regions whose economy has been mainly driven by export, such as Shanghai, Zhejiang and Guangdong, gross domestic production (GDP) growth dropped to three- to- six percent.
"Domestic consumption, together with fixed assets investment, had become the main forces of China's economic recovery as export continues to weaken," Li told Xinhua.
His view was echoed by Zhang Liqun, a researcher with the Development Research Center of the State Council, a government think-tank, who said the continual growth in domestic consumption had provided "very strong" power for China's economy to move on.
China's surging loans also implied booming domestic consumption, as personal loans saw accelerating growth from 7.5 percent in January to 24.9 percent in April year on year, according to the central bank.
Lian Ping, chief economist with the Bank of Communications, said a personal loans surge showed that banks had begun to pay attention to consumer loans in a move to boost domestic demand.
With the same intention, China Securities Regulatory Commission (CSRC) announced this week that it plans to let non-deposit-taking institutions both home and overseas to offer consumer loans to Chinese citizens in pilot cities like Beijing, Shanghai and Tianjin.
According to CSRC's plan, debtors will be able to borrow loans so long as they are less than five times of their monthly income.
Government stimulus policies have been playing a big part in consumption growth, such as reducing purchase taxes for small cars and subsidies for farmers to buy agricultural equipment, said Yuan Gangming, an economic researcher at Tsinghua University.
EXPORT: WEAKENING, BUT SIGNIFICANT
In sharp contrast with the booming domestic market, China's export is facing continuous slump from the fourth quarter last year.
Exports fell 22.6 percent in April from a year earlier to 91.94billion U.S. dollars, steeper than the 17.1-percent decline in March, according to the General Administration of Customs.
Long-term orders had been continuously cut into smaller and shorter ones by foreign buyers, which would make exporters' benefits unstable and unsustained, according to a report on the Web site of the Ministry of Commerce (MOC).
Canton Fair, China's leading trade fair that ended early this month, saw export orders fall by 16.9 percent from last year.
However, the MOC report had stressed that stabilizing external demand was key to maintaining growth, as the "grim" impact could affect "all sectors" of the economy.
Sluggish external demand, which had a significant bearing on stabilizing exports and employment, could deter domestic investment and consumption for a long period, it said.
RESTRUCTURING: A LONG-TERM BATTLE
Despite favorable economic data on domestic demand, economists had warned that time for China to retool its economy for domestic consumption might be longer than expected.
"There is still a long way to go," said Li Daokui, pointing out that the infrastructure-focused government spending and rising domestic consumption could provide stable and continual energy to economic recovery, but it might not be the solution in the long run.
Consumption had been rising, but far from enough, as it had so far accounted for only 38 percent of China's GDP, which was not adequate to become a pillar for long-term growth, he said.
Xie Guozhong, economist and board member of Rosetta Stone Advisors, said during the second Lujiazui Forum over the weekend that consumption boosted mainly by government stimulus could only temporarily keep the economy from going down.
Economic restructuring would only be completed when consumers are provided with abundant fortune, which means the government needs to do more to increase family incomes, he said.
Coinciding with economists' opinions, the government is planning to move further on its way to a consumption-heavy growth model.
Wang Yiming, vice president of Academy of Macroeconomic Research under NDRC, pointed out that China's next step would be further consumption expansion through either offering direct purchase subsidies or perfecting social security system.
The government's affordable housing projects and further implementation of health care reform are included in building a perfect social security system, said Xu Lin, head of the Department of Fiscal and Financial Affairs, NDRC.
(Xinhua reporter Zhang Ran also contributed to this story)
Special Report: Global Financial Crisis
China proves a reliable partner of Europe
The European Union (EU) hosted the much-postponed 11th round of the China-EU Summit in the Czech Republic capital of Prague last Wednesday.
As the highest official consultative mechanism, the annual summit has been held alternatively in an European country and China. The Prague round was scheduled to be held in December, but had to be put off - for the first time in the 11-year history of the this engagement - due to French President Nicolas Sarkozy's meeting with the Dalai Lama in defiance of Beijing's opposition.
The fact that Premier Wen Jiabao have traveled 20 hours to and from the Czech capital for a two-hour gathering bears eloquent testimony to how much China cherishes its hard-won friendship with the EU; and its aspirations to work together with the EU to steer the relationship to a higher level steadily without the occasional hiccup. At the same time, the engagement is also an indication of China's sense of responsibility as an emerging power.
In the 21st century, China and the EU will face the task of how to handle their complicated relations with each other: one being the largest developing nation and the other, a highly integrated bloc of developed nations. Given that the political and military power once possessed by the European Continent has been on the decline, it is now time for the Europeans to revise their impressions of a rapidly developing China, and re-evaluate their own, long-trumpeted economic and social development models.
The European people are losing their long-established sense of superiority owing to the gradual decline of the Continent's politico-economic clout in the international community. Despite a pledge to respect human rights and strive for balanced economic development, Europeans had always lost to the United States in the international economic and trade arena.
The outbreak of the financial crisis in the US was once considered by the Continent as a rare opportunity to regain the initiative in reframing the international economic order. In the early period of the crisis, Sarkozy optimistically announced that the crisis would bring an end to the laissez-faire element of US-led capitalism. Peer Steinbrueck, German Minister of Finance, confidently told reporters that Europe's largest economy was capable of surviving the financial crisis. However, in less than two weeks, European countries turned out to have been stricken by the same horrific nightmare as the one in the US.
According to the April data released by the European Commission, the community has suffered a far worse economic recession than the world's largest economy; and, another 8.5 million Europeans are expected to join the ranks of the unemployed in 2009 and 2010. The Organization for Economic Cooperation and Development (OECD), the World Bank and the International Monetary Fund (IMF) have all issued warnings about Europe's economic and social conditions.
Besides, the financial crisis has triggered social unrest in France and Spain, and political trouble in Iceland, Czech Republic and Austria, thereby plunging the continent into deep disappointment.
In the international arena, too, Europe is being marginalized. The Financial Times once carried an article claiming China now needs Europe less than the Continent needs the Asian country in bilateral relations. It is known that the Group of Seven industrialized nations created 80 percent of the world's gross domestic product 10 years ago, but now the economic value produced by the G8 club is only half of the world's total.
With the outbreak of the global financial crisis, one Western economy after another has been hit by unprecedented recession, thus accelerating the shift of the world's economic center to China and other emerging economies.
According to estimates by Goldman Sachs, a full-service global investment banking and securities firm, the world's six largest economies by 2050 are expected to be China, the US, Japan, India, Brazil and Russia, with no place left for any European country. When confronted with the economic slowdown, Britain, Germany and other European powers have expressed time and again that they are already financially strained and have no capacity to work out more stimulus packages. According to them, China should play a bigger role in driving the recovery of the world economy. The history of Sino-EU relations indicates that China has always remained a reliable friend. In the 34 years since diplomatic relations were established, China and the EU have set up more than 50 consultative and dialogue mechanisms at various levels covering politics, economy and trade, science and technology, and energy and environmental protection.
The EU is China's largest trading partner, largest export market and, now the Asian nation's largest import target. China's enormous market has provided great commercial opportunities for European enterprises. The flow of a range of cheap but quality made-in-China brands have delivered tangible benefits to the ordinary European consumer, saving about 300 euros every year for every European household.
Given their global strategic significance, China-EU relations undoubtedly have a solid foundation rooted in deep mutual trust, which can be the basis to bolster bilateral relations ranging from economic and trade arrangements to extensive cultural exchanges.
The development of a good Sino-EU relationship needs not only China's efforts, but also a profound self-review of Europe's attitudes and policies toward China. A more open mind on the part of the EU and a more objective and fairer perspective toward the Asian country are expected for deepening bilateral ties.
The author is a scholar with the China Institutes of Contemporary International Relations
(Source: China Daily)
As the highest official consultative mechanism, the annual summit has been held alternatively in an European country and China. The Prague round was scheduled to be held in December, but had to be put off - for the first time in the 11-year history of the this engagement - due to French President Nicolas Sarkozy's meeting with the Dalai Lama in defiance of Beijing's opposition.
The fact that Premier Wen Jiabao have traveled 20 hours to and from the Czech capital for a two-hour gathering bears eloquent testimony to how much China cherishes its hard-won friendship with the EU; and its aspirations to work together with the EU to steer the relationship to a higher level steadily without the occasional hiccup. At the same time, the engagement is also an indication of China's sense of responsibility as an emerging power.
In the 21st century, China and the EU will face the task of how to handle their complicated relations with each other: one being the largest developing nation and the other, a highly integrated bloc of developed nations. Given that the political and military power once possessed by the European Continent has been on the decline, it is now time for the Europeans to revise their impressions of a rapidly developing China, and re-evaluate their own, long-trumpeted economic and social development models.
The European people are losing their long-established sense of superiority owing to the gradual decline of the Continent's politico-economic clout in the international community. Despite a pledge to respect human rights and strive for balanced economic development, Europeans had always lost to the United States in the international economic and trade arena.
The outbreak of the financial crisis in the US was once considered by the Continent as a rare opportunity to regain the initiative in reframing the international economic order. In the early period of the crisis, Sarkozy optimistically announced that the crisis would bring an end to the laissez-faire element of US-led capitalism. Peer Steinbrueck, German Minister of Finance, confidently told reporters that Europe's largest economy was capable of surviving the financial crisis. However, in less than two weeks, European countries turned out to have been stricken by the same horrific nightmare as the one in the US.
According to the April data released by the European Commission, the community has suffered a far worse economic recession than the world's largest economy; and, another 8.5 million Europeans are expected to join the ranks of the unemployed in 2009 and 2010. The Organization for Economic Cooperation and Development (OECD), the World Bank and the International Monetary Fund (IMF) have all issued warnings about Europe's economic and social conditions.
Besides, the financial crisis has triggered social unrest in France and Spain, and political trouble in Iceland, Czech Republic and Austria, thereby plunging the continent into deep disappointment.
In the international arena, too, Europe is being marginalized. The Financial Times once carried an article claiming China now needs Europe less than the Continent needs the Asian country in bilateral relations. It is known that the Group of Seven industrialized nations created 80 percent of the world's gross domestic product 10 years ago, but now the economic value produced by the G8 club is only half of the world's total.
With the outbreak of the global financial crisis, one Western economy after another has been hit by unprecedented recession, thus accelerating the shift of the world's economic center to China and other emerging economies.
According to estimates by Goldman Sachs, a full-service global investment banking and securities firm, the world's six largest economies by 2050 are expected to be China, the US, Japan, India, Brazil and Russia, with no place left for any European country. When confronted with the economic slowdown, Britain, Germany and other European powers have expressed time and again that they are already financially strained and have no capacity to work out more stimulus packages. According to them, China should play a bigger role in driving the recovery of the world economy. The history of Sino-EU relations indicates that China has always remained a reliable friend. In the 34 years since diplomatic relations were established, China and the EU have set up more than 50 consultative and dialogue mechanisms at various levels covering politics, economy and trade, science and technology, and energy and environmental protection.
The EU is China's largest trading partner, largest export market and, now the Asian nation's largest import target. China's enormous market has provided great commercial opportunities for European enterprises. The flow of a range of cheap but quality made-in-China brands have delivered tangible benefits to the ordinary European consumer, saving about 300 euros every year for every European household.
Given their global strategic significance, China-EU relations undoubtedly have a solid foundation rooted in deep mutual trust, which can be the basis to bolster bilateral relations ranging from economic and trade arrangements to extensive cultural exchanges.
The development of a good Sino-EU relationship needs not only China's efforts, but also a profound self-review of Europe's attitudes and policies toward China. A more open mind on the part of the EU and a more objective and fairer perspective toward the Asian country are expected for deepening bilateral ties.
The author is a scholar with the China Institutes of Contemporary International Relations
(Source: China Daily)
China: key currency countries need watching
Special Report: Boao Forum For Asia
2009
BEIJING, April 19 -- Premier Wen Jiabao said
on Saturday that the economic polices of countries which issue global reserve
currencies require closer supervision as part of building a diversified
international monetary system.
Wen and central bank governor Zhou Xiaochuan also cautioned against jumping
to the conclusion that China is already on the path to economic recovery, after
data issued on Thursday showed signs of an upturn in momentum.
Chinese Premier Wen Jiabao gives a
keynote speech at the opening plenary of Boao Forum for Asia (BFA) Annual
Conference 2009 in Boao, a scenic town in south China?ˉs Hainan Province,
April 18, 2009. The BFA Annual Conference 2009 opened here on Saturday
with the theme of ?°Asia: Managing Beyond Crisis?±. (Xinhua/Ma
Zhancheng)
Photo
Gallery>>>
Wen's currency comments, an apparent reference to U.S. economic management that
Beijing has blamed in part for the global financial crisis, were twinned with a
pledge to promote more international use of the Chinese yuan.
Wen has expressed concern in recent months about the
safety of Chinese investments in U.S. dollar assets.
"We should strengthen the supervision of the economic policies of the main
reserve currency economies and push forward the establishment of a diversified
international monetary system," he said in his opening address to the Boao Forum
for Asia, held annually in the Chinese island province of Hainan.
It was the second time this month that China has made such an appeal,
following President Hu Jintao's call at the London G20 summit earlier this month
for the International Monetary Fund to strengthen its oversight of reserve
currency-issuing economies.
Long-term Solutions
China caused a stir in March when central bank chief Zhou suggested the
idea of reducing reliance on the U.S. dollar as the world's primary unit of
foreign exchange by developing the Special Drawing Rights (SDRs) issued by the
IMF.
But at the London G20 forum, China did not call for immediate discussion of
the subject.
Speaking at the Boao forum on Saturday, Zhou said that his proposal on SDRs
was intended mainly to contribute his thoughts on the root cause of the
financial crisis and what needed to be done in the long run to prevent such
situations in the future.
He was not suggesting that drastic changes to the financial system needed
to be taken in the short term, Zhou said.
"It's just like treating a patient. First we need to make a diagnosis. Then
comes treatment," Zhou told the forum.
"But right now, not all the doctors have the same diagnosis....
Unfortunately, it seems that there is still no consensus among various countries
about the source of the financial crisis," he said.
Premier Wen said China would look at expanding its currency swap agreements
that are seen as a step toward eventually making the yuan more of a global
reserve asset.
"We should give full play to bilateral currency swap agreements and will
study expanding currency swaps in scale and to more countries," he said.
China's central bank has signed six swap deals since mid-December, totalling 650 billion yuan ($95 billion), with countries from Argentina to Indonesia.
2009
BEIJING, April 19 -- Premier Wen Jiabao said
on Saturday that the economic polices of countries which issue global reserve
currencies require closer supervision as part of building a diversified
international monetary system.
Wen and central bank governor Zhou Xiaochuan also cautioned against jumping
to the conclusion that China is already on the path to economic recovery, after
data issued on Thursday showed signs of an upturn in momentum.
Chinese Premier Wen Jiabao gives a
keynote speech at the opening plenary of Boao Forum for Asia (BFA) Annual
Conference 2009 in Boao, a scenic town in south China?ˉs Hainan Province,
April 18, 2009. The BFA Annual Conference 2009 opened here on Saturday
with the theme of ?°Asia: Managing Beyond Crisis?±. (Xinhua/Ma
Zhancheng)
Photo
Gallery>>>
Wen's currency comments, an apparent reference to U.S. economic management that
Beijing has blamed in part for the global financial crisis, were twinned with a
pledge to promote more international use of the Chinese yuan.
Wen has expressed concern in recent months about the
safety of Chinese investments in U.S. dollar assets.
"We should strengthen the supervision of the economic policies of the main
reserve currency economies and push forward the establishment of a diversified
international monetary system," he said in his opening address to the Boao Forum
for Asia, held annually in the Chinese island province of Hainan.
It was the second time this month that China has made such an appeal,
following President Hu Jintao's call at the London G20 summit earlier this month
for the International Monetary Fund to strengthen its oversight of reserve
currency-issuing economies.
Long-term Solutions
China caused a stir in March when central bank chief Zhou suggested the
idea of reducing reliance on the U.S. dollar as the world's primary unit of
foreign exchange by developing the Special Drawing Rights (SDRs) issued by the
IMF.
But at the London G20 forum, China did not call for immediate discussion of
the subject.
Speaking at the Boao forum on Saturday, Zhou said that his proposal on SDRs
was intended mainly to contribute his thoughts on the root cause of the
financial crisis and what needed to be done in the long run to prevent such
situations in the future.
He was not suggesting that drastic changes to the financial system needed
to be taken in the short term, Zhou said.
"It's just like treating a patient. First we need to make a diagnosis. Then
comes treatment," Zhou told the forum.
"But right now, not all the doctors have the same diagnosis....
Unfortunately, it seems that there is still no consensus among various countries
about the source of the financial crisis," he said.
Premier Wen said China would look at expanding its currency swap agreements
that are seen as a step toward eventually making the yuan more of a global
reserve asset.
"We should give full play to bilateral currency swap agreements and will
study expanding currency swaps in scale and to more countries," he said.
China's central bank has signed six swap deals since mid-December, totalling 650 billion yuan ($95 billion), with countries from Argentina to Indonesia.
"China is my second home": former Bangladeshi army chief
By Huang Yanan
DHAKA, June 29 (Xinhua) -- Former Bangladeshi army chief lieutenant general Mahbubur Rahman, who was former military attache of Bangladesh embassy in China, said here recently that heis an admirer and lover of China and treats China as his second home.
While being exclusively interviewed by Xinhua at his house in Dhaka, Mahbubur said, "I saw a lot and learned a lot when I was in China. I have very good impression on China and 5 years living in China left me a lot of good memories."
Mahbubur said that he had curiosity about China in his early age and liked to read books about China.
In 1969, when Bangladesh was a part of Pakistan, Mahbubur was serving in Pakistani army and sent to study Chinese in a foreign language institute. "I studied Chinese only for 9 months in the institute, but I was greatly attracted by the language," he said.
After China and Bangladesh established diplomatic relations in 1975, Mahbubur told the then Bangladeshi army chief Zia Rahman (who later became president) he wanted to continue his study of Chinese language. Zia arranged a scholarship and Mahbubur started his study in Beijing Language College in September 1976 and he was also one of the first batch of Bangladeshi students to study in China.
Mahbubur said, "I was supposed to study 3 years. But after one year I was called back to Bangladesh. I regretted for not finishing my study in China."
Mahbubur was posted in China from 1980 to 1984 as a military attache in Bangladeshi embassy. He is the first military attache in the embassy.
During his term in China, Mahbubur initiated the military cooperation between China and Bangladesh. "We bought a lot of military equipment from China. Some of the equipment were provided free. In that time, Bangladesh sent the highest number of officers from the armed forces to be trained in China," he said.
Mahbubur remembered what former Bangladeshi president Zia Rahman told him at the airport after he concluded his visit to China in July 1980, saying "China is a friend and China is a great country. To develop the relations and promote the friendship with China. Remember, this is the country which we look forward and this is the country in which we fully trust."
Mahbubur said, "so many years have been passed, I always remember the words and these also express my feelings to China."
During his stay in China, Mahbubur visited almost all over China. He not only saw the beauty of China but also witnessed the rising of China.
Mahbubur said, "When I was in China in 1976, China was very backward and undeveloped. 30 years later, China has totally changed. The change is really amazing and like a dream."
Mahbubur made the latest visit to China in 2008 during Beijing Olympics. He said, "China has become more modern, more civilized. I am proud of the achievements China have made."
Mahbubur said, "When I was working in China. I established personal friendship with some top leaders in the PLA. I could talk with them in Chinese at that time. But because long time no practice, I can't speak Chinese well now."
Mahbubur visited China when He was a army chief from 1996 to 1998.
Mahbubur loves sports and was president of Bangladesh Olympic Association.
After retirement from the army, Mahbubur has been dedicated to developing friendship with China and joined Bangladesh-China Friendship Association and is elected as vice president.
"I want to do more for the friendship between China and Bangladesh. I hope I can go back to China often to see the change and development of the great country because China is my second home," he said.
DHAKA, June 29 (Xinhua) -- Former Bangladeshi army chief lieutenant general Mahbubur Rahman, who was former military attache of Bangladesh embassy in China, said here recently that heis an admirer and lover of China and treats China as his second home.
While being exclusively interviewed by Xinhua at his house in Dhaka, Mahbubur said, "I saw a lot and learned a lot when I was in China. I have very good impression on China and 5 years living in China left me a lot of good memories."
Mahbubur said that he had curiosity about China in his early age and liked to read books about China.
In 1969, when Bangladesh was a part of Pakistan, Mahbubur was serving in Pakistani army and sent to study Chinese in a foreign language institute. "I studied Chinese only for 9 months in the institute, but I was greatly attracted by the language," he said.
After China and Bangladesh established diplomatic relations in 1975, Mahbubur told the then Bangladeshi army chief Zia Rahman (who later became president) he wanted to continue his study of Chinese language. Zia arranged a scholarship and Mahbubur started his study in Beijing Language College in September 1976 and he was also one of the first batch of Bangladeshi students to study in China.
Mahbubur said, "I was supposed to study 3 years. But after one year I was called back to Bangladesh. I regretted for not finishing my study in China."
Mahbubur was posted in China from 1980 to 1984 as a military attache in Bangladeshi embassy. He is the first military attache in the embassy.
During his term in China, Mahbubur initiated the military cooperation between China and Bangladesh. "We bought a lot of military equipment from China. Some of the equipment were provided free. In that time, Bangladesh sent the highest number of officers from the armed forces to be trained in China," he said.
Mahbubur remembered what former Bangladeshi president Zia Rahman told him at the airport after he concluded his visit to China in July 1980, saying "China is a friend and China is a great country. To develop the relations and promote the friendship with China. Remember, this is the country which we look forward and this is the country in which we fully trust."
Mahbubur said, "so many years have been passed, I always remember the words and these also express my feelings to China."
During his stay in China, Mahbubur visited almost all over China. He not only saw the beauty of China but also witnessed the rising of China.
Mahbubur said, "When I was in China in 1976, China was very backward and undeveloped. 30 years later, China has totally changed. The change is really amazing and like a dream."
Mahbubur made the latest visit to China in 2008 during Beijing Olympics. He said, "China has become more modern, more civilized. I am proud of the achievements China have made."
Mahbubur said, "When I was working in China. I established personal friendship with some top leaders in the PLA. I could talk with them in Chinese at that time. But because long time no practice, I can't speak Chinese well now."
Mahbubur visited China when He was a army chief from 1996 to 1998.
Mahbubur loves sports and was president of Bangladesh Olympic Association.
After retirement from the army, Mahbubur has been dedicated to developing friendship with China and joined Bangladesh-China Friendship Association and is elected as vice president.
"I want to do more for the friendship between China and Bangladesh. I hope I can go back to China often to see the change and development of the great country because China is my second home," he said.
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