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BOAO, Hainan, April 18 (Xinhua) -- China's economic stimulus package plan is already paying off, and positive changes have taken place in the economy, Chinese Premier Wen Jiabao said Saturday. "The situation is better than expected," Wen said at the opening ceremony of the Boao Forum for Asia annual conference 2009. The "swift" and "decisive" measures taken by China to deal with the crisis has proved essential for easing major problems in the economy, shoring up confidence and stabilizing expectations, said the premier. The growth domestic production (GDP) of the world's third largest economy rose 6.1 percent in the first quarter, the slowest pace in a decade. 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’s Hainan Province, April 18, 2009. The BFA Annual Conference 2009 opened here on Saturday with the theme of “Asia: Managing Beyond Crisis”. Premier Wen said the economy was "better than expected", citing pick-ups in investment, consumption and industrial output, as well as ample liquidity in the banking system. He said the stimulus policies were primarily aimed at boosting domestic demand, and at the same time made full use of external demand, to make both of them drive economic growth. "This will lead to the transformation towards a more balanced growth pattern of the Chinese economy," he said. 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’s Hainan Province, April 18, 2009. Wen said the stimulus policy would give a big push to the shift from extensive economic growth driven by high consumption of material resources to intensive growth driven by scientific and technological advancement, improved quality of the workforce and institutional innovation. He stressed the package plan aimed at addressing both symptoms and root causes and serving both current needs and long-term goals, and the economic restructuring had made encouraging progress. The premier also reiterated the government was doing everything in its power to create jobs, especially for college graduates and rural migrant workers. He noted the urban employment rose as 2.68 million jobs were created in the urban areas in the first quarter. The industrial output had gradually stabilized, and agriculture production was on the whole stable, he said. "We should not, however, lose sight of the fact that the international financial crisis is still spreading, the basic trend of world economic recession is not reversed, problems in the financial system remained unsolved and the worsening of the real economy has been more serious than expected," he warned. He said the crisis had presented China with great challenges in economic and social development including sharp decline in exports, greater difficulties in stabilizing agriculture production and increasing farmer's income, industry overcapacity, and slow recovery in industrial growth, and severe pressure of unemployment.
CANBERRA, March 21 (Xinhua) -- Li Changchun, a senior official of the Communist Party of China (CPC), met with Australian Prime Minister Kevin Rudd here Saturday, and the two leaders pledged to combat the financial crisis and further develop bilateral ties. After conveying greetings from Chinese President Hu Jintao and Premier Wen Jiabao to Rudd, Li, a member of the Standing Committee of the Political Bureau of the CPC Central Committee, expressed sympathy to Australia for the recent bushfires and floods. Australian Prime Minister Kevin Rudd (1st R) meets with Li Changchun (1st L), a member of the Standing Committee of the Political Bureau of the Central Committee of the Communist Party of China, in Canberra, capital of Australia, March 21, 2009On bilateral ties, Li proposed both countries keep high-level exchanges and he welcomed Rudd and other Australian leaders to visit China. He suggested the two countries expand economic cooperation on the basis of mutual benefits. "Proceeding from the fundamental interests of our development, our two countries should promote energy and resources enterprises to forge long-term strategic cooperative relations," he said. He also urged the two sides to steadily advance negotiations on the Free Trade Agreement in line with active, pragmatic, balanced and mutually beneficial principles. Australia is a major destination for Chinese overseas students and tourists. Li pledged to strengthen bilateral cultural links between the two peoples. He welcomed the Australian side to participate in the World Expo due to be held in Shanghai in 2010. Both China and Australia are important countries in the region.Li suggested both countries maintain close consultation on such major matters as combating the financial crisis and coping with climate change. Li Changchun (L Front), a member of the Standing Committee of the Political Bureau of the Central Committee of the Communist Party of China, visits the National Museum of Australia in Canberra, capital of Australia, March 21, 2009The Group of 20 London Summit will be due in early April. Rudd told Li that he anticipated meeting again with Chinese President Hu Jintao during the summit. The close contacts between the leaders of the two countries have promoted the growth of bilateral ties and the expanding common interests have opened broad prospects for bilateral cooperation in all areas, he said. He also spoke highly of the stimulus measures adopted by China after the financial crisis. He said that the role of G20 should be given full play for accumulating a consensus for addressing the current financial and economic problems. On the reform of the international financial system, emerging countries should increase their say and decision-making rights, he said. Also on Saturday, Li visited the National Portrait Museum and National Museum of Australia. Li arrived in Australia on Friday. Australia is the first-leg of Li's four-nation tour which will also take him to Myanmar, the Republic of Korea and Japan.
BEIJING, March 18 (Xinhua) -- With folk dances and songs, China and the Democratic People's Republic of Korea (DPRK) Wednesday unveiled their year-long exchange program, "China-DPRK Friendship Year." Chinese Premier Wen Jiabao and his DPRK counterpart, Kim Yong Il, attended the premiere of friendship year, together with ministers of foreign affairs, trade and culture of both countries. Chinese Premier Wen Jiabao (R) and his counterpart of the Democratic People's Republic of Korea (DPRK) Kim Yong Il wave during a ceremony marking the 60th anniversary of the establishment of the China-DPRK diplomatic relations and the launch of the China-DPRK Friendship Year in Beijing, capital of China, March 18, 2009."It is of great significance for China and the DPRK to stage the Friendship Year, which coincides with the 60th anniversary of bilateral diplomatic relations," Wen said in a speech at the start of the gala. Wen said the DPRK was among the first countries to establish diplomatic relations with China. The two countries forged diplomatic relations on Oct. 6, 1949, days after the People's Republic of China was founded. Chinese Premier Wen Jiabao (L) delivers a speech as his counterpart of the Democratic People's Republic of Korea (DPRK) Kim Yong Il listens during a ceremony marking the 60th anniversary of the establishment of the China-DPRK diplomatic relations and the launch of the China-DPRK Friendship Year in Beijing, capital of China, March 18, 2009. "The exchange program spells out the shared aspiration of both countries to cherish their traditional friendship and commit to good-neighbor cooperation," Wen said. "With joint efforts, I am convinced that the China-DPRK Friendship Year will reach its expected goals and yield fruitful results," Wen said. The year-long exchange program will cover a series of cultural events like art performances, photo exhibitions and art shows. Premier of the Democratic People's Republic of Korea (DPRK) Kim Yong Il (L) delivers a speech as Chinese Premier Wen Jiabao listens during a ceremony marking the 60th anniversary of the establishment of the China-DPRK diplomatic relations and the launch of the China-DPRK Friendship Year in Beijing, capital of China, March 18, 2009.Kim, who was on his first visit to China since taking office in April 2007, said DPRK-China friendship was the common treasure of both nations. "Our party and government have paid much attention to the bilateral friendship and committed themselves to promoting the development of our traditional friendship," Kim said. Kim said the DPRK would work with China to make the Friendship Year a success. Chinese Premier Wen Jiabao (2nd R, 2nd Line) and his counterpart of the Democratic People's Republic of Korea (DPRK) Kim Yong Il (3rd L, 2nd Line) wave as they pose for a group photo with performers after the performance for the launch of the China-DPRK Friendship Year in Beijing, capital of China, March 18, 2009.Following the leaders' speeches, more than 2,000 people from both countries watched an hour-long gala featuring folk songs and dances from both countries. During his five-day visit to China, Kim will also meet with other Chinese state leaders. Chinese Premier Wen Jiabao (6th R, 2nd Line) and his counterpart of the Democratic People's Republic of Korea (DPRK) Kim Yong Il (4th L, 2nd Line) wave as they pose for a group photo with performers after the performance for the launch of the China-DPRK Friendship Year in Beijing, capital of China, March 18, 2009.
BEIJING, March 5 (Xinhua) -- Chinese Premier Wen Jiabao Thursday called on the nation to strengthen "conviction for victory" as he unveiled an unprecedented stimulus package to shore up economic growth amid global downturn. In a work report to the National People's Congress (NPC), the country's parliament, Wen said China is facing "unprecedented difficulties and challenges" as economic growth slows, employment pressure mounts and social uncertainties increase in 2009, the most difficult year since the new millennium. PREMIER'S ECONOMICS China's economy cooled to a seven-year low of 9 percent last year, and broke a five-year streak of double-digit expansion, as the global financial crisis took its toll on the world's fastest growing economy. The country, however, is "able to achieve" an economic growth at about 8 percent as long as right policies and appropriate measures are adopted and implemented, Wen said. Chinese Premier Wen Jiabao delivers a government work report during the opening meeting of the Second Session of the 11th National People's Congress (NPC) at the Great Hall of the People in Beijing, capital of China, March 5, 2009In his report, Wen outlined an aggressive stimulus package, including huge government investment, tax reform, industrial restructuring, scientific innovation, social welfare and promoting employment. In addition to a 4-trillion yuan (585.5 billion U.S. dollars) stimulus package that was announced in November, the premier also proposed a budgeted fiscal deficit of 950 billion yuan (139 billion U.S. dollars) for 2009, a record high in six decades and nearly three times over the last record of 319.8 billion yuan set in 2003. The deficit accounted for less than 3 percent of the gross domestic product (GDP), nearly surpassing an internationally accepted risky line. Wen said increasing government spending is the most active, direct and efficient way to expand domestic demand, while economists believe China's 2-trillion U.S. dollar foreign reserves, current-account surplus and budget surplus offers the government lots of room to do so. Other key economic and social targets included creating more than 9 million jobs in the city, controlling urban registered unemployment rate under 4.6 percent and keeping the rise of Consumer Price Index (CPI) at about 4 percent. EXPECTATIONS OF A MIGRANT WORKER AND MORE While nearly 3,000 lawmakers convened at the Great Hall of the People in the center of Beijing, Zhang You, a migrant worker from central Anhui Province who was waiting in his rented room for a job opportunity in the outskirts of the capital, also watched Wen's nationally televised speech, though the Premier's economics might be beyond his imagination. "I didn't quite understand what those figures meant," he said. "But I was impressed by Premier Wen's vow to expand social security for migrant workers and help us find jobs," the 30-year-old man said. "I am happy about that." Zhang, a painter, said he has had no work to do for months. "I guess it's because fewer people are buying houses," he said. China's real estate sector was also hit by the international financial crisis with fewer people buying houses. But Zhang said he believes he will soon be able to find a job. "I feel the government is trying hard to overcome the difficulties. This kind of situation won't last long." "I hope the economy will get better. My whole family is depending on me," said Zhang, one of the 20 million migrant workers who have lost jobs following the financial crisis. In addition to millions of migrant workers seeking jobs in the cities, another 6.1 million college students are due to graduate this year, worsening the country's unemployment woes. Announcing a 42-billion-yuan central government investment to boost job opportunities, Wen said in his report "the government will do everything in its power to stimulate employment." He said the government will make full use of the role of the service sector, labor-intensive industries, small and medium-sized enterprises, and the non-public sector of the economy in creating jobs, he said. Hao Ruyu, vice president of the Capital University of Economics and Business, said to maintain an 8 percent growth rate is "vital" to the Chinese economy and the country's stability. "One percentage point growth could create 800,000 to 1 million jobs," said Hao, vice chairman of the NPC Financial and Economic Affairs Committee. Despite worsening world economy, economists are optimistic about China's economic growth as previous stimulus measures have started to show initial effects. Economist Li Yining told Xinhua that he believes China's economic growth this year could reach 8 percent, or even higher. The Chinese economy is also very likely to recover before other major economies, even though the world economy is still shrouded in uncertainty, said Li, a member of the National Committee of the Chinese People's Political Consultative Conference (CPPCC), the nation's top political advisory body. "The economic slowdown is beginning to bottom out, and the economy is bound to rebound on huge government investment," he said. According to a survey of factories issued Monday by the brokerage CLSA, China's manufacturing activity contracted for a seventh consecutive month in February, but at a slower rate than previous months. INVESTMENT FOR A HARMONIOUS SOCIETY While explaining the stimulus plan, Wen said the government will "give top priority to ensuring people's wellbeing and promote social harmony." He said a total of 908 billion yuan of the central government investment this year will go to projects aiming at improving people's life. Those projects covered low-income housing, education, health care, culture, environmental protection, and reconstruction in regions affected by the May 12 earthquake in Sichuan Province. As part of the efforts to shore up domestic demand, Wen said China will increase investment to improve China's social security network, whose low coverage has long been blamed for the country's high saving rate. He said the central government plans to spend 293 billion yuan on the social safety net this year, up 17.6 percent or 43.9 billion yuan over the estimated figure for last year. The money will be used to fund social welfare programs, including pension, medical insurance, unemployment insurance and living allowances to low-income groups. Wen also promised that his government will improve efficiency and continue to combat corruption. "We must discharge our duties with great diligence and, through our actions and achievements, build a government that is for the people and is pragmatic, clean, efficient to satisfy people's needs and win their trust," he said. CHINA IMPETUS LIMITED? As the world's fastest expanding economy, China's policy making has captured international attention since the world was hit by the financial turmoil. Before Wen delivered his report, U.S. stocks broke a five-day losing streak with the Dow Jones industrial average rising 149.82, or 2.2 percent, to 6,875.84 on Wednesday. Some analysts said expectations on China's economic stimulus package might have contributed to the stock jump. But Wang Xiaoguang, a Beijing-based economist, said such an influence is very "limited." Wang said China's stimulus package might help store up some investors' confidence in world economy, but the recovery of the world depends on both China and the United States. China's economic growth could help cushion the blows of world economic downturn, Wang said. "But if the U.S. economy continued to worsen, China alone could not revive the world," he said.
BEIJING, April 10 (Xinhua) -- Chinese Vice Premier Li Keqiang said here Friday that the basic health-care system should be provided as a public service to the people to ensure and improve people's livelihoods. Li made the remarks during a meeting on deepening the reform of the health-care system, stressing that the public health-care system should be conducted for public good and urging the gradual establishment of a basic health-care system to cover all Chinese citizens. Carrying out the health-care system reform is of great significance to improving people's livelihoods and promoting social harmony, as well as boosting domestic demand and keeping a sound and rapid economic development, Li said. The reform of the health-care system is a social systematic project, which is time-consuming, challenging and complicated, he said. By 2020, China should have a basic health-care system that covers urban and rural residents, Li pointed out. Health-care reform in the next three years should be focused on relieving people from expensive and hard-to-get medical care, he said. Li also said that reforms should be carried out in five areas, including providing universal access to basic health insurance, introducing an essential medicine system, improving primary healthcare facilities, offering equitable access to basic public health services and establishing pilot reform of state-run hospitals.