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BEIJING, July 28 -- China expressed its hope that the U.S. government will be able to cut its budget deficit in order to prevent inflation that could jeopardize the value of China's dollar-denominated assets, as the two countries wrapped up the first of two days of high-level talks here. "We sincerely hope the U.S. fiscal deficit would be reduced, year after year," Zhu Guangyao, assistant minister of finance, told reporters after the conclusion of the first day of talks, which have been dubbed the U.S.-China Strategic and Economic Dialogue. "The Chinese government is responsible and first and foremost our responsibility is [for] the Chinese people, so of course we are concerned about the security of the Chinese [dollar] assets," Zhu said. China holds a total of more than 800 billion U.S. dollars in U.S. treasury debt, making it America's largest foreign creditor. As a result of recent American efforts to counter the financial crisis and stimulate the economy, U.S. government spending has soared, and is projected to reach 1.84 trillion U.S. dollars this year. That is more than four times the previous high. Many investors and economists fear this deficit spending will lead to inflation, as the increase in the supply of dollars drives down their value, thereby also reducing the value all dollar-denominated assets, including U.S. Treasury bonds. As a result, some investors have started to buy shorter-term bonds, which they hope will not be impacted by any longer-term inflation driven by increased government spending. U.S. Secretary of Treasury Timothy Geithner assured the Chinese delegation in his opening remark on Monday that U.S. has taken steps to overhaul its financial system, enhance regulation, and control the deficit. "We are committed to taking measures to maintain greater savings and to reducing the federal deficit to a sustainable level by 2013," he said. However, Geithner did not reveal how, specifically, the United States planned to achieve its deficit-cutting goals during the dialogue. Both American and Chinese officials, however, agreed that the economy has begun to slowly stabilize. "We have agreed that green shoots have emerged in the international economy and financial markets," said Zhu. However, the economic foundation is far from being sound, and the current situation remains severe, Zhu warned. China's economy has shown solid signs of recovery, with its GDP growth picking up to 7.1 percent in the first half of this year after dipping to as low as 6.1 percent in the first quarter. The country's retail sales growth was 15 percent in the first half of this year, the highest since 1985, according to Ministry of Finance figures. The two-day talks, which are co-chaired on the Chinese side by Vice Premier Wang Qishan and State Councilor Dai Bingguo, and the U.S. Secretary of State Hillary Rodham Clinton and Secretary of Treasury Timothy Geithner on the U.S. side, covered a wide array of issues, including the global economy, climate change and clean energy as well as regional security issues. At the opening ceremony on Monday, U.S. President Barack Obama emphasized his hope for closer cooperation between the two countries. "I believe that we are poised to make steady progress on some of the most important issues of our times," he said. "The relationship between the United States and China will shape the 21st century."
NAIROBI, Aug. 26 (Xinhua) -- A visiting Chinese Tibetologist delegation on Wednesday gave Kenyan lawmakers an insight into Tibet and its issues. Shes-rab-nyi-ma, vice president of China's Central University for Nationalities and head of the Chinese delegation, introduced the basic facts of Tibet, the origin of the "Tibetan issue," the efforts the Chinese government has taken to develop the local economy and to protect the indigenous language and culture, and the system of regional autonomy for ethnic minorities in China. Legislator Ahmed Shakeel Shabeer said many Kenyan lawmakers didn't know much about Tibet before and most of them had been influenced by western media on the Tibetan issue due to their British-style education. The Chinese Tibetologist delegation holds a discussion with Kenyan lawmakers in Nairobi, capital of Kenya, Aug. 26, 2009The visit and introduction of the Chinese delegation have helped Kenyan legislators know more about Tibet, and in a more comprehensive way, Shabeer said. He hoped the two nations could continue to increase exchanges in areas such as education to further promote bilateral ties.

BEIJING, Aug. 17 (Xinhua) -- China on Monday urged more efforts to push forward the rejuvenation of the country's northeast and other traditional industrial bases. Great progress has been made in the regions since China launched the rejuvenation move more than five years ago, said attendees at a meeting of the leading group of the State Council, the Cabinet, for revitalizing the northeast and other old industrial bases. The rejuvenation strategy of old industrial bases mainly covers regions including Liaoning, Heilongjiang and Jilin provinces and the northeastern parts of Inner Mongolia Autonomous Region. Chinese Premier Wen Jiabao (L Back) presides over a meeting of the leading group of the State Council (Cabinet) for revitalizing the old industrial bases in northeast China and other regions, in Beijing, capital of China, Aug. 17, 2009. China on Monday called for more efforts to push forward the rejuvenation of the northeast and other traditional industrial bases The northeast is a major base of grain production, heavy industry and energy resources in China. Many cities in the regions face developing challenge as their energy resources are depleted and heavy industries face the burden of restructuring. The meeting, chaired by Premier Wen Jiabao, agreed more efforts should be spent in the regions to optimize economic structure, promote the development of modern industries, and speed up infrastructure construction, especially some major energy, transport and water conservation projects. Great importance should be attached to promoting innovation and technological progress in enterprises and work should be urged to develop modern agriculture as well as grain production, transportation and storage to secure the national grain reserve base. The meeting also called for efforts to tackle issues emerging from the transformation of resources-oriented cities, eco-environmental conservation, improvement of people's livelihood, regional economic cooperation and state-owned enterprise reform.
XIAMEN, Sept. 9 (Xinhua) -- China remains the most attractive country for foreign capital, despite that the country's foreign direct investment declined for ten straight months, a commerce official said Wednesday. "China has been the top destination for foreign capital for 17 consecutive years," Wang Chao, assistant commerce minister, said at the World Capital Forum in Xiamen, east China's Fujian Province. A report released by the United Nations Conference on Trade and Development (UNCTAD) on July 22 showed that China stands first on the list of five most attractive destinations for foreign capital, followed by the United States, India, Brazil, and Russia. The country has received 48.3 billion U.S. dollars of foreign direct investment (FDI) from January to July this year, down 20.3 percent over the same time last year amid a global economic downturn, Wang said. Wang said the country's prospects for overseas investment remains optimistic as it would simplify examination and approval procedures toward foreign investors. It will also guide foreign investment to go to high technology industry, advanced manufacturing industry, energy saving and environment protection industries, in a bid to optimize investment structures.
BEIJING, Aug. 18 (Xinhua) -- Drought-hit regions in northern China are forecast to have moderate to heavy rain Wednesday and Thursday, the National Meteorological Center said Tuesday. The regions include Inner Mongolia Autonomous Region where more than 200,000 livestock have died due to drought, Heilongjiang Province where 1.47 million hectares of farmland were hit by drought, Liaoning and Jilin provinces. A severe drought has hit China's northern part, affecting 11.33million hectares of crops, according to the State Flood Control and Drought Relief Headquarters. Among the total affected crops, 4.2 million hectares suffered serious drought and 1.07 million hectares dried up. About 3.9 million people and about 4.37 million livestock had difficulties getting water. Yuan Zipeng, deputy director of the Liaoning provincial observatory, said the long-anticipated rain would "obviously" relieve the two-month-long drought that led to drinking water shortages for 792,200 people and 242,200 livestock in the province. In order to increase the rainfall, the provincial bureau has prepared 1,269 rocket shells along with three aircraft to seed the clouds, Yuan said. In Liaoning alone, 32 million hectares of farmland were hit by drought. The water resources department in Inner Mongolia said 1.89 million people and 4.27 million livestock faced drinking water shortages. More than 200,000 livestock died as 71 percent of the region's pastures were severely hit by drought. Qinggele, a herdsman in Bayan Zhuoer, Inner Mongolia, said his family had to use donkeys to carry water 15 km away. Authorities in Inner Mongolia made artificial rain more than 1,000 times as the region saw the worst drought in the past 50 years. Officials also helped residents find more water sources and build more water-saving and irrigation projects. Chinese Vice Premier Hui Liangyu has urged government agencies to place "top priority" on anti-drought efforts during his tour of the drought-hit regions in Liaoning, Inner Mongolia and Jilin on Monday and Tuesday. Local governments were also urged to expand irrigation by speeding up construction of reservoirs and properly conducting artificial precipitation as "the drought took place in major grain production bases at the key maturity period for crops, which will greatly affect agriculture production".
来源:资阳报