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BEIJING, April 11 (Xinhua) -- Credit extended by China's banks in the first quarter hit 4.58 trillion yuan (670 billion U.S. dollars), the People's Bank of China (PBOC) said Saturday.     In March alone, new yuan-denominated loans increased 1.89 trillion yuan. It was the third straight month that new loans exceeded 1 trillion yuan.     "It is not beyond market expectations. The increase was boosted by the 4-trillion-yuan stimulus plan and showed the possibility of a faster economic recovery in China compared with other countries," said Zhang Qizuo, vice director of China International Economy Society.     Premier Wen Jiabao said on March 5 at the opening of the annual session of the National People's Congress, China's legislature, that new yuan-denominated loans this year were expected to reach 5 trillion yuan.     Historical data show the first-quarter bank credit usually accounts for more than 60 percent of the year's total.     "There is a time lag between the credit increase and actual use of capital, but the big increase will surely lay a solid foundation for the recovery of the real economy," said Zhang.     In the first quarter, the central bank withdrew 47.3 billion yuan from circulation, 78.5 billion yuan more than the same period of last year.     "The increase in currency withdrawal from circulation showed the central bank was carefully watching the credit growth," said Yuan Gangming, an economist with Tsinghua University.     Zhuang Jian, an economist at the Asian Development Bank, said the regulators should pay attention to the quality of new loans and prevent bad loans.     By the end of February, non-performing loans by Chinese banks totaled 1.53 trillion yuan, 17.5 billion yuan less than the start of the year.     The structure of credit growth was also improving. The proportion of bill financing fell to about 22 percent in March from 47 percent in February, though still much higher than the average of 5 percent.     "The decline in bill financing is a good sign. It means company activities are increasing and the credit's impact on the economy is strengthening," said Zhuang.     Through March, the M2 figure -- a broad measure of money supply,which covers cash in circulation and all deposits -- grew 25.5 percent from a year earlier to 53.06 trillion yuan.     The narrow measure of money supply, M1 (cash in circulation pluscorporate current deposits), was up 17.04 percent year on year to 17.65 trillion yuan.     "The fast rebound of M2 indicates China's liquidity is abundant. This is very important to the economic recovery. The sharp rise of M1 shows companies are increasing spending on investment and management." said Zhang Bin, an economist with Chinese Academy of Social Sciences.

XI'AN, March 17 (Xinhua) -- Chinese Vice Premier Li Keqiang urged local governments Tuesday to accelerate industrial restructuring and development in western regions and boost domestic consumption to offset the impact of the global downturn.     Li made the remarks during an inspection tour of the country's northwestern Shaanxi Province, which ran from Sunday to Tuesday. Chinese Vice Premier Li Keqiang (L) talks with a salesman about the process of bringing home appliances to the countryside in a market of Yan'an, a city of northwest China's Shaanxi Province, on March 17, 2009. Li Keqiang made an inspection of Shaanxi Province recentlyHe urged local authorities to take measures to achieve smooth, relatively rapid economic growth this year. He urged the Chinese people to be confident in coping with uncertain times.     "Equipment manufacturing is a sector of strategic importance. Local governments should do more to implement industry stimulus plans, promote innovation and build up large domestic companies," he said. Chinese Vice Premier Li Keqiang (R, Front) shakes hands with a veteran in a beadhouse in Yan'an, a city of northwest China's Shaanxi Province, on March 17, 2009. Li urged companies to develop new technology, new products and foster new industries to become more competitive.     He also called on local governments to sincerely apply policies aimed at helping farmers buy household appliances to stimulate consumption, as potential demand in western and rural areas was huge.     As of Feb. 1, China's more than 900 million farmers became eligible for subsidies equal to 13 percent of the price of designated home appliances. The subsidy was originally offered in a pilot program in three provinces in 2007. Chinese Vice Premier Li Keqiang (2nd, R) inspects in a workshop of AVIC Xi'An Aircraft Industry (Group) Company in Xi'an, capital of northwest China's Shaanxi Province, on March 17, 2009

BEIJING, March 16 (Xinhua) -- Vietnam is ready to make joint efforts with China to advance the Vietnam-China comprehensive strategic and cooperative partnership, a senior Vietnamese official said here Monday. Pham Quang Nghi, a member of the Political Bureau of the Communist Party of Vietnam Central Committee (CPVCC), made the remarks during his talks with Liu Qi, a member of the Political Bureau of the Central Committee of the Communist Party of China (CPC).     Liu said the two parties had increased exchanges on theory and practice of socialist construction since the two top leaders reached an important consensus on the development of Sino-Vietnamese relations last year. Liu Qi (L), member of the Political Bureau of the Central Committee of the Communist Party of China (CPC) and chief of the CPC Beijing Municipal Committee, meets with Pham Quang Nghi, member of the Political Bureau of the Central Committee of the Communist Party of Vietnam (CPV) and chief of the CPV Hanoi Municipal Committee, in Beijing, capital of China, March 16, 2009.     Hu Jintao, general secretary of the Communist Party of China (CPC) Central Committee and Chinese President, held talks with CPVCC General Secretary Nong Duc Manh on May 30, 2008, when Manh was on a four-day official goodwill visit to China.     The consensus between the leaders of the two parties provided direction to further develop relations, said Nghi, also Hanoi's Party Committee Secretary.     The two countries had also expanded cooperation, which brought concrete benefits to the two peoples, Liu said.     Liu, also secretary of the CPC Beijing Municipal Committee, hoped both sides would work together to enrich the bilateral comprehensive strategic and cooperative partnership.     He also briefed the guests on the Second Session of the 11th National People's Congress (NPC) and the Second Session of the 11th National Committee of the Chinese People's Political Consultative Conference (CPPCC), held earlier this month.     Wang Jiarui, head of the International Department of the CPC Central Committee, also met with Nghi and his delegation on Saturday.     On Monday afternoon, Jia Qinglin, chairman of the National Committee of the Chinese People's Political Consultative Conference (CPPCC), also met with Nghi.     Hailing the completion of Sino-Vietnam land demarcation, Jia said China and Vietnam were facing an opportunity to further comprehensive, strategic and cooperative partnership, and should work together to boost cooperation in all fields and levels.     Nghi believed the Chinese people would overcome the global financial crisis under the leadership of the CPC. He said China was an important force to safeguard world peace and progress, and that Vietnam would learn from China's experience in the reform and development

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, Feb. 8 (Xinhua) -- Irrigation has covered 52.7 percent of the wheat farmland in drought-hit provinces in China by Saturday, said the Ministry of Agriculture.     A total of 85 million mu (about 5.67 hectares) of wheat land have been irrigated in eight drought-stricken provincial regions, the ministry told a meeting on Sunday.     Minister Sun Zhengcai said it is of importance to fully use machines in the fight against drought. People irrigate a wheat field in Laocheng Township of Changge County, central China's Henan Province, Feb. 3, 2009. Henan, one of China's key wheat producing regions, has suffered from drought since Oct. 24, 2008. Some 2.9 million hectares of farmland in Henan were affected    He asked local governments to increase subsidies for farmers to buy more irrigation-related and water-saving equipments, and make every effort to expand the irrigation coverage and save water.     By Saturday, 152 million mu of wheat farmland, which accounted for 95 percent of the drought-stricken crops in China, was affected in eight provincial regions including Hebei, Shanxi, Anhui, Jiangsu, Henan, Shandong, Shaanxi and Gansu.     Rain and snow from Friday to Sunday in the southeastern part of northwest China and the southwestern part of north China has reduced the area of drought-affected farmland by 20 million mu.     China experienced the most severe drought for decades. As of Saturday, 299 million mu of crops, 4.42 million people and 2.2 million heads of livestock were affected.     The crops affected was 110 million mu more than the average level during the same period in past years.     During a visit to central China's drought-hit Henan Province on Saturday and Sunday, Chinese Premier Wen Jiabao has urged officials in drought-hit areas to place "top priority" on relief work as agricultural stability concerns China's bid to revive its economy.     China has declared the highest level of emergency in response to the drought, employing artificial means to induce rains and allocating 86.7 billion yuan (about 12.69 billion U.S. dollars) as subsidies to farmers.     In addition, the central government has decided to earmark 400 million yuan to local governments for drought relief.