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BEIJING, Sept. 28 (Xinhua) -- Chinese banks have extended more loans to small firms to ease their financial predicaments as the government tightens monetary supply, a banking regulator said Wednesday.Outstanding loans to small firms grew 26.6 percent year-on-year to hit 9.85 trillion yuan (1.55 trillion U.S. dollars) at the end of July, said Xiao Yuanqi, an official in charge of financial services for small enterprises at the China Banking Regulatory Commission.The growth was 10 percentage points higher than that of the banks' total outstanding loans, Xiao told Xinhua.More than 100 commercial banks have set up special operations to ease small firms' difficulties getting access to bank credit, he noted.The figures came at a time when China is trying to balance the missions of countering inflation and sustaining the growth of small enterprises.The People's Bank of China, or the central bank, has raised the benchmark interest rate three times this year and increased the reserve requirement ratio six times.The measures bit into small, cash-strapped companies, which are already disadvantaged in seeking bank support due to insufficient collateral.Only 15 percent of China's small enterprises could get loans from banks and half of them had to resort to private lenders, according to a report by the National School of Development with Peking University in July.With tighter liquidity and stricter regulatory requirements on capital-adequacy ratios and loan-deposit ratios, banks are more reluctant to lend to small firms, said Ai Min, a retail banking general manager with China Minsheng Banking Corp., Ltd.Besides, the expanding size of lending to small firms may lead to higher risks, said Ai.He suggested banks improve the risk evaluation and collateral system for loans to small firms.
MOSCOW, Aug. 24 (Xinhua) -- A Russian Progress cargo ship crashed into Siberia after failing to reach the right orbit Wednesday. The crash marked the second failure in space launch in less than a week and the third in this year, prompting local media to suspect a major reshuffle in Russia's space industry.UNPRECEDENTED FAILUREThe Progress M-12M unmanned freighter was launched to the International Space Station from Baikonur space center in Kazakhstan on Wednesday. It was expected to reach a near-Earth orbit in about nine minutes after launch.However, after the 325th second of the flight, which was just a few seconds before the vessel should reach the orbit, the ground control center lost it.Russian space agency Roscosmos confirmed later that the cargo ship failed to reach the orbit and fell down. Russian Progress M-12M cargo ship is launched to the International Space Station from Baikonur space center in Kazakhstan on Wednesday, Aug. 24, 2011. It has failed to reach the orbit, the Interfax news agency reported.The malfunction of the Soyuz-U rocket's engine was generally believed to be the cause of the accident, according to local media.A source in the space industry said the spaceship had sent a breakdown report while separating from the Soyuz rocket.Some unconfirmed reports said the fuel tank of the booster leaked and the engine was automatically turned off to avoid explosion.The wreckage of the Progress cargo ship has already fallen in southern Siberia's Altai Republic, where a big explosion was heard by locals, reported RIA Novosti news agency.A state investigation committee has been formed to look into the first ever loss of a Progress freighter.CONCERNS OVER FUTUREThe unprecedented accident raised concerns over the reserves of the six crew members on board the ISS.The ship was loaded with over 3.5 tons of supplies for the ISS, including scientific materials, oxygen, water and food.According to Russia's Ground Control, the loss of these supplies will not affect the ISS crew as there are enough stocks of necessities for two to three months.Also, there is no need for premature return of the crew, said Vladimir Solovyov, a space official.However, it still casts some shadow over the ISS program that relies on Russia exclusively following the retirement of U.S. shuttles.A source from the Russian space industry said the scheduled launches of the Soyuz rockets are likely to be suspended until the reasons of the accident are established.This means that current crew members of the ISS would likely stay longer in the space than planned, as the new members might not be able to replace them on schedule, the source explained. Solovyov said the launch of the next Progress is scheduled for October 28.So far, Roscosmos has refrained from comments regarding the possible halt in manned missions aboard Soyuz carrier rockets."Comments will follow. Now it is necessary to determine the causes of today's abortive launch of a Soyuz-u carrier rocket with the Progress M-2M transport ship," Roscosmos told Itar-Tass news agency.Local media raised the prospect of a major reshuffle in Russia' s space industry as the country has lost a total of six space vehicles over the past nine months.On Aug. 18, a carrier rocket Proton-M failed to deliver to the orbit communication satellite Express-AM4. Earlier in February, Russia had lost a satellite named Geo-IK2.In December 2010, a booster malfunction resulted in the loss of three satellites in the global positioning and navigation system GLONASS.

BEIJING, Aug. 14 (Xinhua) -- Gary Locke, the newest U.S. ambassador to China, promised on Sunday to promote bilateral cooperation and understanding between the two countries.Acknowledging challenges in the "important and complex diplomatic and economic bilateral relationship" between the two countries, Locke said he looks forward to working with the Chinese government to expand bilateral cooperation and collaboration.He made the remarks at a press conference held on Sunday afternoon, his first public appearance since arriving in Beijing on Friday evening. Locke's wife Mona Lee and their three children accompanied him at the conference.Speaking about the things he hopes to accomplish over the next several months, Locke said the most important thing will be "to promote stronger and better understanding between the U.S. and China.""This must be done so that more people in the United States understand China, its history, its contributions to world civilization, its challenges and the amazing progress China has made in such a short time," he said.Locke also stressed China's "unique history, culture, and philosophy," which he said must be understood if the two countries wish to forge a more cooperative relationship.Locke, a Democrat, was elected as Washington state's 21st governor in 1996, becoming the first Chinese-American governor in U.S. history. He won reelection in 2000. President Obama nominated Locke as Commerce Secretary in February 2009.
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