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BEIJING, Oct. 26 (Xinhua) -- China's economy was on sound track but prospects were complicated by the world economic slowdown, said Zhou Xiaochuan, governor of China's central bank, on Sunday. In a report Zhou made to the fifth session of the Standing Committee of the 11th National People's Congress (NPC), he said the country's economy was developing as expected, but the world economic slowdown added uncertainties to its prospect. "Our economy is highly reliant on overseas demand. Slacking exports resulted from the global economic slowdown would have a negative impact on the economy," he said. He suggested the country need to be cautious in adjusting policies because there are both possibilities of cost-driven price rises and possibilities of continuous price falls in the future. "Currently, inflation pressure mainly comes from rising cost," he said. He said in the world, more and more economies began to shift their policies from curbing inflation to boosting economic developments amid a world economic recession. The international commodity price is expected to enter a new round of rise. According to him, the PBOC will adopt flexible and prudent macro-control policies to strive for the stability of the country's financial sectors and promote sound and rapid economic growth. Zhou said efforts would go to other specific fields, including establishing financial risk monitoring mechanism, enhancing cooperation among domestic and overseas financial organs, and ensuring liquidity in the banking system. He also urged strengthening foreign exchange management through enhancing cross-border capital flow management and supervision, in a bid to avoid losses and risk caused by speculation activities. The central bank would keep a close look over the real estate sector and improve financial services in this sector, he added. Zhou said that the impact of the world financial crisis on China's economy cannot be underestimated. However, the country's economic situation is sound as a whole, and is capable to effectively resist the external impact. China's financial sectors have grown stronger after years of development. The profit-earning and risk-resistance abilities have been greatly improved, market liquidity is sufficient, and the financial system is sound and safe, he explained. The fifth session of the Standing Committee of the 11th National People's Congress (NPC) opened its second plenary meeting Sunday morning. Wu Bangguo, chairman of the Standing Committee of the NPC, attended the meeting.
BEIJING, Jan.24 (Xinhua) -- China's top economic planner said Saturday it would raise the minimum state purchasing prices for rice in major rice-producing areas by as much as 16.9 percent this year. The move was aimed at protecting farmers' interests, keeping grain prices stable and boosting grain output as grain growers had experienced higher costs since last year, according to the National Development and Reform Commission (NDRC). The state purchasing prices for japonica rice will rise 15.9 percent to 1900 yuan (280 U.S. dollars) per ton this year, according to the NDRC. In addition, prices for early and late indica rice will be 16.9percent and 16.5 percent higher respectively to 1800 yuan and 1840yuan per ton. It was the biggest increase in grain purchasing prices since 2004, said Ding Jie, an official with the NDRC's price department. In 2004, China started the practice of buying grains from farmers at a state-set minimum price when market prices drop below the protective price level in order to encourage grain production. Saturday's announcement came before Chinese farmers kick off the spring planting season, as the government tried to prevent the grain growers' enthusiasm from being eroded by higher costs of fertilizers and other production materials. Statistics from the Ministry of Agriculture show December fertilizer prices, except urea, rose more than 20 percent from a year earlier. Diesel for farm use was 5.8 percent higher year-on-year. The NDRC already hiked the minimum purchasing price for wheat by as much as 15.3 percent starting this year. It raised the purchasing prices for wheat and rice twice last year. With a population of more than 1.3 billion, China relies mainly on domestic production for food and targets grain output of more than 540 million tons by 2020. China's grain output rose 5.4 percent year-on-year to a record 528.5 million tons in 2008, official data show. State-owned enterprises purchased 170 million tons of grains from farmers in 2008, said Nie Zhenbang, director of the State Administration of Grain, earlier this month. That move, together with higher purchasing prices, resulted in a revenue increase of more than 50 billion yuan (7.4 billion U.S. dollars) for the whole country's farmers, said Nie.

DESTROYER WUHAN, Dec. 29 (Xinhua) -- The Chinese naval fleet sailed into the Strait of Malacca on Monday after its departure from China's southernmost island province of Hainan on an escort mission against piracy off Somalia Friday afternoon. The fleet sailed into Singapore Strait Monday morning after over 20 hours' voyage from the South China Sea and arrived at the Strait of Malacca. It is expected to reach the Indian Ocean Tuesday. The convoy, which includes two of China's most sophisticated naval destroyers, DDG-169 Wuhan and DDG-171 Haikou, and a supply ship Weishanhu, is heading for the Gulf of Aden to join a multinational patrol in one of the world's busiest sea lanes where surging piracy endangers international shipping. A helicopter of the Chinese naval fleet attends a landing exercise at night on Dec. 28, 2008, while the Chinese naval fleet heads for the Gulf of Aden. The Chinese naval fleet including two destroyers and a supply ship set off on Dec. 26 for waters off Somalia for an escort mission against piracy. The fleet carries about 800 crew members, including 70 soldiers from the Navy's special force, and is equipped with missiles, cannons and light weapons. The recent pirate attack on a Chinese fishing vessel has raised great concern of the Chinese government and people. Statistics showed that some 1,265 Chinese commercial vessels had passed through the gulf so far this year and seven had been attacked. The UN Security Council has adopted four resolutions calling on all countries and regions to help patrol the gulf and waters off Somalia since June. The latest resolution authorized countries to take all necessary measures in Somalia, including in its airspace to stop the pirates. A helicopter of the Chinese naval fleet attends a landing exercise at night on Dec. 28, 2008, while the Chinese naval fleet heads for the Gulf of Aden. The Chinese naval fleet including two destroyers and a supply ship set off on Dec. 26 for waters off Somalia for an escort mission against piracy.
BEIJING, Nov. 29 (Xinhua) -- Senior military officials of China and Myanmar agreed on Saturday to strengthen the relations of the two countries and armed forces in an all-around way. The two countries should enhance military and state-to-state exchanges to promote regional peace, stability and prosperity, said Chen Bingde, chief of the General Staff of the Chinese People's Liberation Army (PLA), while meeting his Myanmar's counterpart Shwe Mann. Chen said the two sides have maintained cooperation in various fields, and witnessed smooth development in their military ties. He hailed the firm support to each other in terms of national development and international affairs, especially those touching on the core interests of both nations. As good neighbors since ancient times, China and Myanmar have helped each other to fight external aggression and to struggle for respective national independence and liberation in modern history, Chen said. Shwe Mann, also member of the ruling Myanmar State Peace and Development Council (SPDC), agreed to strengthen bilateral ties in an all-around way. He expressed appreciation for China's long-term support to Myanmar and reaffirmed Myanmar's adherence to the one-China policy.
BEIJING, Dec. 1 -- Amid the coupling effects of shrinking global demand and rising operating costs, it has been a dramatic upheaval this year for domestic small and medium-sized enterprises (SMEs) after China started its reforms 30 years ago. Even as the scene appears a bit scary, there is still a ray of hope if only entrepreneurs note the writing on the wall and go all out to cut costs before they raise the clamor for a bailout.Two women make beds on a production line of the small private firm Nangang Shoemaking Factory in Foshan, Guangdong province.In the first half of 2008, much before the world saw the capital markets going topsy turvy amid the global economic slowdown, over 67,000 SMEs in China went bankrupt, while more than 10,000 labor-intensive textile enterprises downed shutters, according to figures from the Department of SMEs under the National Development and Reform Commission. In October, 714 companies were closed in Dongguan in Guangdong province, home to over 60,100 private companies and a major manufacturing center in China. "We will see more companies closing in the coming months, with the figure likely to cross 1,000 after Christmas," says Dongguan Deputy Mayor Jiang Ling. Most of the international buyers of Chinese products failed to get letters of credit in October leading to significant cancellations of Christmas orders, says Frank FX. Gong, chief China economist at JPMorgan Securities (Asia Pacific) Limited in a recent report. "Indeed, 'things suddenly ceased' was the common comment we heard on the ground lately," he says. But for some like Luo Chun, sales director of tin box maker Dongguan Tinpak Co, the freeze on Christmas orders has not yet meant closing. Luo says overseas order fell by 10 percent from June to October, normally the peak time for Christmas orders.
来源:资阳报