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BEIJING, Oct. 6 (Xinhua) -- Chinese Premier Wen Jiabao and his Australian counterpart Kevin Rudd, in a phone conversation on Monday, exchanged opinions on relations between their two countries as well as the international financial crisis and climate change. Wen spoke positively of the development of the mutually beneficial cooperation between China and Australia. He said China is willing to work with Australia to intensify coordination and cooperation, and meet the complicated global challenges in a bid to promote harmonious and sustainable development of the world. The Australian prime minister lauded China's position and active role in handling the international financial crisis. Rudd said the international community should strengthen cooperation to establish and improve the mechanism to guarantee the transparency and consistency of the international financial system. Australia would like to work with China to reinforce exchanges and cooperation in international finance and in multilateral and bilateral fields, he added.
BEIJING, Oct. 8 (Xinhua) -- China's central bank on Wednesday announced cuts in both the interest rate and reserve-requirement ratio in the latest effort to boost the domestic economy amid worries over the deepening global financial crisis. The deposit and lending rates would be lowered by 0.27 percentage points from Thursday and the reserve-requirement ratio would be down by 0.5 percentage points from Oct. 15, the People's Bank of China (PBOC) said. "This was mainly out of concerns over an economic slowdown," said Ba Shusong, deputy chief of the Finance Research Institute under the Development Research Center of the State Council. "The rate cut was expected as the world was faced with a cycle of interest rate cuts," he told Xinhua. OUT OF SLOWDOWN CONCERNS The loosening in monetary policy, the second such move in less than a month, highlighted the government's rising concern over the slowing economy and slumping capital market. The PBOC cut the benchmark one-year lending rate by 0.27 percentage points on Sept. 16, the first rate cut in six years. It also lowered the reserve requirement at medium- and small-sized lenders by 1 percentage point as of Sept. 25. Tang Min, China Development Research Foundation deputy secretary, echoed Ba's viewpoint. Tang said the government made the move mainly out of concerns over domestic problems. "The deepening U.S.-originated credit crisis has impacted the psychology of Chinese and also the real economy," he told Xinhua. Investors, gripped by lingering fears of global economic downturn, dumped equities to drive the stock market down 66 percent from its peak last October. China's gross domestic product (GDP) expanded 10.1 percent in the second quarter of the year, marking a deceleration for four consecutive quarters. Its exports, a major driver behind the economy, reported slowing growth this year as the credit crisis reduced overseas demand for its goods. This has led to the closures of tens of thousands of local exporters and also job losses. Local businesses bore the brunt of higher borrowing costs and were even finding it difficult to get credit after last year's tightening measures aimed at curbing inflation and averting economic overheating. The easing in inflation has given room for the authorities to loosen monetary policy. The consumer price index rose 4.9 percent in August, off from the 12-year-high of 8.7 percent in February. "Inflation is no longer a threat with the declining commodities prices," Tang said. The monetary policy has been starting to loosen and the trend would not change in the short term, said Zhuang Jian, an Asian Development Bank (ADB) economist. "The whole world doesn't have strong confidence in the economic outlook." TAX CUT TO BOOST DEMAND In another move to boost domestic demand, the State Council, China's Cabinet, said it would scrap the 5 percent individual income tax on savings interest earnings starting on Thursday. China began levying a 20 percent individual income tax on interest earnings in 1999 to narrow the income gap and encourage consumption and investment. The tax rate was slashed to 5 percent on Aug. 15, 2007. The income tax cut was a must as it would help alleviate the erosion on personal income by high prices, especially given the cut in the deposit rate, Li Yang, head of the Finance Research Institute under the Chinese Academy of Social Sciences. The tax cut, together with lower borrowing costs, would boost domestic demand, an increasingly more important driver of economy in the global credit crisis, Zuo Xiaolei, China Galaxy Securities chief economist, said. GLOBAL COORDINATED RESPONSE The move was also a timely response to the rate cuts by other major central banks and part of a coordinated effort to stem the global crisis, Tang said. Six other major central banks, including the U.S. Federal Reserve, slashed interest rates on the same day to cope with the current financial crisis. The U.S. Federal Reserve lowered its target for the federal funds rate by 0.5 percentage points to 1.5 percent. The Bank of England cut its rate by half a point to 4.5 percent and the European Central Bank cut by the same margin to 3.75 percent. Central banks of Canada, Sweden and Switzerland took similar actions. The Bank of Japan said it strongly supported these policy actions. Australia's central bank on Tuesday slashed the interest rate by 1 percentage point, the largest cut since 1992.

FUZHOU, July 28 (Xinhua) -- Typhoon Fung Wong, the eighth tropical storm to hit China's coast this year, made landfall in the southeastern Fujian Province on Monday, according to the provincial observatory. The eye of the powerful typhoon landed at Donghan Town of Fuqing City at 10 p.m. with winds of up to 119 km per hour. Vehicles splash through a flooded street in Fuzhou City, capital of southeast China's Fujian Province, July 28, 2008. Typhoon Fung Wong, which was lashing Taiwan on Monday morning, continued to strengthen as it headed toward the southeastern coast of mainland China, according to the observatory of Fujian Province. Though in the eye, Donghan Town saw no rainstorm or strong wind. "Heavy rains and winds are expected after the eye leaves the town," an official with the flood control office of Fuqing City said. Before the typhoon landed, Fuqing had seen torrential rain with 205 millimeters falling from midnight to 8 p.m. on Monday. In Puxia County, the power was cut off as 15 electricity transmission lines and 498 transformer stations were damaged. But no casualties were reported. The typhoon is also likely to bring more heavy rains and strong winds in coastal areas of the province early on Tuesday. The rainfall could exceed 200 millimeters, the meteorologists forecast. Offshore, winds could increase to force 12, while in the coastal cities, force 7 to 9 winds were expected, according to the latest forecast of the provincial meteorological station. Torrential rains were forecast to hit the cities of Ningde, Putian and Quanzhou as well as the provincial capital Fuzhou. Boats bump on waves along the coast of Changle, Fuzhou City, capital of southeast China's Fujian Province, July 27, 2008Typhoon Fung Wong lashed Taiwan on Monday morning, affecting the whole island with wind and rain, just a week after tropical storm Kalmaegi killed 19 people and left six others missing on the island. Fung Wong will be the strongest tropical storm so far this year, and will strike along China's eastern and southern regions with heavy rain and strong winds, according to observatories in Fujian, Guangdong, Zhejiang and Jiangxi provinces. The authority of the eastern Zhejiang Province has issued an alert on geological hazards in Wenzhou, Lishui and Taizhou cities from Monday midnight till Tuesday. Under the typhoon's influence, heavy rain will continue till Wednesday in the province. Zhejiang has evacuated 338,573 people and called back 27,656 fishing boats by late Monday, according to the provincial flood control and drought relief headquarters.
TOKYO, June 14 (Xinhua) -- Foreign ministers of China, Japan and South Korea agreed here Saturday to strengthen trilateral cooperation for better political, economic and cultural relations. Chinese Foreign Minister Yang Jiechi, Japanese Foreign Minister Masahiko Komura and South Korean Minister of Foreign Affairs and Trade Yu Myung Hwan reached the agreement at the second trilateral meeting of foreign ministers from the three countries. Chinese Foreign Minister Yang Jiechi (L), Japanese Foreign Minister Masahiko Komura (C) and South Korean foreign and trade minister Yu Myung-Hwan shake hand prior to their meeting in Tokyo, Japan, June 14, 2008.Yang said the meeting was held when the trilateral cooperation is showing bright prospect. "The trilateral cooperation is facing new opportunities and is standing at a threshold," Yang told his counterparts during the meeting held later in the afternoon. "Further development of the trilateral cooperation is in line with the expectation of the three peoples and is conducive to peaceful development of the three countries and the region," Yang said. He called for cherishing of the opportunities to actively push forward the trilateral cooperation toward the direction of peaceful coexistence, comprehensive cooperation, mutual benefit and common development. Yang called on the three sides to keep their respective political promises, improve understanding and trust in each others, expand logistical and financial cooperation as well as social and cultural exchanges and deepen communications on regional cooperation and significant international and local issues so as to further improve the mechanism of trilateral cooperation. Japanese foreign minister Masahiko Komura (C) speaks during a joint press conference with Chinese foreign minister Yang Jiechi(L), South Korean foreign and trade minister Yu Myung-Hwan after the tripartite China-Japan-South Korea Foreign Ministers Meeting in Tokyo, capital of Japan, on June 14, 2008. The three ministers agreed that the trilateral cooperation is very important for peace, stability and prosperity of Asia. They agreed to carry out new cooperation on disaster relief. The three ministers agreed to keep regular communications between leaders and foreign ministers of the three countries and scheduled a meeting of heads of government of the three countries in Japan in September. The three ministers also agreed to strengthen cooperation on promoting peace and stability on the Korean Peninsula, combating climate change, environment protection, food and energy safety, assistance to African development and the United Nations' reform. Komura and Yu wished the Beijing Olympics a great success.
BEIJING, Aug. 21 (Xinhua) -- China values its friendly ties with Cuba and is willing to work with Cuba to push bilateral relationship to a new height, Chinese Vice Premier Li Keqiang said on Thursday. Li made the remarks when meeting with Jose Ramon Fernandez Alvarez, vice president of the Cuban Council of Ministers, here on Thursday. Li said Sino-Cuban relations were at a new stage of development, as the two countries had maintained frequent high-level contact and increased economic cooperation and consultation in international affairs. Chinese Vice Premier Li Keqiang (R) meets with Jose Ramon Fernandez Alvarez, vice president of the Cuban Council of Ministers and also president of the Cuban Olympic Committee, in Beijing, China, Aug. 21, 2008. Li also congratulated the Cuban guest on the good performance of Cuban athletes at the Olympic Games. Fernandez, also president of the Cuban Olympic Committee, said Cuba would make new efforts to strengthen relations with China and believed the Games would be a total success. Li also met on Thursday with Tony Hayward, BP Group chief executive officer. Chinese Vice Premier Li Keqiang (R) meets with Tony Hayward, BP Group chief executive officer, in Beijing, China, Aug. 21, 2008. He said energy was an important resource for economic development and high oil prices had become a cause of concern for many countries. He said that nations should strengthen dialogue and cooperation to safeguard global energy security. China would take the scientific development outlook and adopt measures to save resources and reduce emissions, , the vice-premier said, adding China will improve the efficiency of energy consumption to pursue sustainable development. He hoped BP would expand cooperation with its Chinese partners to achieve a win-win deal. Hayward said his company would continue to strengthen cooperation with China.
来源:资阳报