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HONG KONG, Aug. 22 (Xinhua) -- China Construction Bank (CCB), the country's second largest bank, said Sunday its net profit in the first half of this year jumped 27 percent to reach 70.78 billion yuan (10.4 billion U.S. dollars) from a year earlier and its non-performing loan (NPL) ratio dropped to 1.22 percent.In a filing to the Hong Kong stock exchange, CCB said its profit before tax amounted to 92.19 billion yuan, up 27.2 percent year on year.RAPID GROWTH IN H1Key contributors to the rapid year-on-year growth of net profit were increased credit supply, service and product innovation, and decreased impairment losses, according to the statement.Regarding credit supply, the bank said its average balance of interest-bearing assets rose by 18.26 percent in the first half, prompting net interest income to surge by 15.33 billion yuan, or 15 percent.On service and product innovation, CCB said net fee and commission income rose by 10.22 billion yuan, or 43.63 percent year on year, as a result of sustained rapid expansion of fee-based business.The Beijing-based lender also said its impairment losses fell by 2.995 billion yuan, or 23.36 percent, due to price rally in foreign currency debt securities with the improving market.CCB President Zhang Jianguo said in the statement that there were signs of recovery in developed economies and robust growth of emerging economies against the backdrop of a gradually warming-up global economy in the first half.China has sustained rapid economic growth, thanks to the government's ongoing stimulation of domestic demand, he said. Foreign trade has gradually improved, while investment and consumption spending have continued to expand at a fast pace, and China's overall financial market performed steadily in the first half.Amid the European sovereign debt crisis and the Chinese government's macro-control policies in the property sector, domestic capital and property markets have undergone noticeable adjustments and are experiencing increasing uncertainties about the future market direction, he said.According to the statement, CCB's net interest income was 117.8 billion yuan, an increase of 15.33 billion, or 14.96 percent year on year.But compared to the same period of 2009, CCB's net interest spread for the first half of this year had dropped by two basis points to 2.32 percent, largely because the yield of interest- bearing assets decreased more than the cost of interest-bearing liabilities, it said.In the first half, CCB's interest income surged by 11.22 billion yuan, or 6.66 percent year on year to 179.65 billion yuan. While the interest expense was 61.85 billion yuan, a year-on-year decrease of 4.12 billion yuan, or 6.24 percent.The bank said its credit asset quality had steadily improved, with non-performing loans standing at 65.17 billion yuan by the end of June this year, a decrease of nearly 7 billion yuan over the end of 2009.
BEIJING, Aug. 13 (Xinhua) -- Chinese military forces are rushing to prevent disease in mudslide-devastated Zhouqu County in northwest China's Gansu Province as high temperatures hit the area where at least 1,156 people were dead.While giving medical treatment to 12,000 local residents, soldiers have also sterilized an area of 128,000 square meters in the disaster-hit county, Wang Wenjie, a senior officer with the Lanzhou Military Area Command of the People's Liberation Army (PLA), said Friday.On Thursday, the Ministry of Health warned of disease-prevention challenges in Zhouqu, as dead bodies and dead animals entombed in the mud may easily decay in the hot weather.Although wells have been dug up to ensure water supply, the ministry said sterilization work is difficult as the water may be contaminated during transportation and storage.In order to ensure rescuers' health, more disinfectant and anti-sunstroke medicine has been dispatched to Zhouqu along with fresh clothing.While more equipment is en route to Zhouqu, Wang said more epidemic prevention workers are ready to go to Zhouqu if needed.Tuo Chengxiang, a senior officer with the Chinese People's Armed Police Force, said the main roads into the township are covered in sludge, hampering vehicular access to the area.A total of 6,281 soldiers and armed policemen are participating in the rescue and relief work in Zhouqu. They have saved 45 lives and delivered 808 tonnes of relief supplies.Besides personnel, 17 helicopters and aeroplanes and 35 rubber rafts have been mobilized to the disaster-hit area.Also on Friday, the PLA General Political Department issued a circular ordering soldiers and policemen in Zhouqu to lead the rescue and relief work while giving top priority to saving people's lives.

BEIJING, June 21 (Xinhua) -- China's announcement that it would allow more flexibility in its yuan exchange rate meant an end to the crisis-mode policy the government took to cushion the blow from the global financial crisis, experts interviewed by Xinhua said Monday.The People's Bank of China, also known as the central bank, said Saturday that it decided to proceed even further with the reform of the Renminbi exchange rate to add flexibility to the RMB exchange rate.The decision was made in view of the recent economic situation and financial market developments at home and abroad, as well as due to the balance of payments situation in China, the central bank said. However, it ruled out a one-off revaluation of the yuan as there was no basis for large changes in its value.Experts noted it was the correct time for the exchange rate policy to return to its normal state, given the consolidated economic recovery, large decline in trade surplus and more balanced international payments.Zhao Xijun, deputy dean of the School of Finance with the Renmin University of China, said the normalization of China's exchange rate policy would intensify China's economic connection to the global economy and help promote the country's economic restructuring and adjustments of its development mode.China moved to a managed floating exchange rate regime in July 2005 which was based on market supply and demand and referencing a basket of currencies. The reform of the RMB exchange rate has made continuous progress since then, producing the anticipated results and playing a positive role.The financial crisis which broke out in the United States in 2008 shook the global financial markets and dented investment confidence. To counter fallout from the economic turmoil, nations rolled out their crisis-mode measures.Zhou Xiaochuan, governor of the central bank, said in March that the exchange rate policy China took amid the crisis was part of the government's stimulus packages, and would exit "sooner or later" along with other crisis-measures.China's economy expanded at 11.9 percent year on year in the first quarter of this year and exports surged 48.5 percent in May, government data showed.Zhao said China narrowed fluctuation of the RMB exchange rate to stabilize market sentiment and stimulate economic growth amid crisis, which was in the interests of China and contributed to the country's economic recovery.During the worst of the global crisis, exchange rates of a number of sovereign currencies to the U.S. dollar depreciated by large margins while the yuan kept stable. Against these depreciating currencies, the value of the yuan has been rising."Undoubtedly, it improved the trade environment for these countries and helped them through hard times," Zhao said, noting the policy contributed significantly to the Asian and global recovery."Narrowing the fluctuation of the yuan's value was the best exchange rate policy China could take during the crisis period, which gave export businesses a stable expectation of the yuan's value and reduced costs caused by a volatile currency," said Xiang Songzuo, Deputy Director of the Center for International Monetary Research at Renmin University of China.The central bank's move also intended to increase competitiveness of export businesses and accelerate economic restructuring.Zhao said when the RMB exchange rate regime becomes more market-oriented, China's export businesses should take more responsibilities and become more self-reliant.The central bank said Sunday that the management and adjustment of the yuan exchange rate would occur gradually, which was necessary to give export businesses time to adjust their business structures and create more jobs in the service sector.Cao Honghui, senior researcher with the Institute of Finance and Banking under the Chinese Academy of Social Sciences, said the further proceeding meant China would rely more on domestic demands for economic growth, which would push forward adjustments of the global economic structure.The central parity of the Renminbi against the U.S. dollar remained at 6.8275 Monday, unchanged from the previous trading day, according to the China foreign Exchange Trading System.
ZHOUQU, Gansu, Aug. 16 (Xinhua) -- A new round of rains started to pound the mudslide-flattened Chinese town of Zhouqu Monday night, which has increased the possibilities of new mudslides occurring.The weather bureau in the Gannan Tibetan Autonomous Prefecture in northwest China's Gansu Province, which administers Zhouqu County, issued a rainstorm warning Monday night, warning about the likelihood of new geological disasters.Rains started pounding Zhouqu at around 10 p.m., which, according to Gansu's provincial weather bureau, could last for five days and precipitation in some regions may reach 60 to 80 mm.The massive landslide on August 8 killed 1,254 people as of 4 p.m.Monday, with 490 still missing.Residents are ferried by a boat in landslide-hit Zhouqu County, Gannan Tibetan Autonomous Prefecture in northwest China's Gansu Province, Aug. 16, 2010. Large-scaled ponding area still remained in the county although the flood has subsidised. Meanwhile, rescue headquarters in Zhouqu has started implementing a disaster prevention contingency plan, which was drawn up on August 11.The plan asks rescue teams and residents alike to move out of mudslide-prone areas if heavy rainfalls pelt the region.According to the plan, tents built in these areas should be removed immediately. Also, cars are not allowed to park in these areas.
来源:资阳报