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BEIJING, Nov. 27 (Xinhua) -- Two years of monetary easing policies helped China's economy emerge from the global financial crisis. Now, facing a runaway inflow of hot money, fast loan growth, and escalating inflation, China could become serious about tightening regulations to achieve a "soft landing".Analysts recently said China could see more interest rate hikes in the final month of 2010 in a bid to soak up excessive liquidity and prevent a potential overheating of the economy.Further, the People's Bank of China (PBOC) Deputy Governor Hu Xiaolian said on Oct. 24 that using multiple monetary policy tools to improve liquidity management and guide the money and credit growth back to normal would be the main task for the central bank in the remainder of this year.According to data released by the central bank Friday, in October those funds outstanding for foreign exchange (FOFE) hit 525.1 billion yuan (78.37 billion U.S. dollars), the second highest monthly record in history.That is to say, PBOC issued 519 billion yuan of Renminbi in October to purchase the same amount of fresh inflow of foreign exchanges, which usually enter the nation in the form of trade surplus, foreign direct investment and short-term international speculative funds."The huge inflow of hot money is an important reason behind the sharp rise in FOFE," said Zhang Ming, a researcher with the China Academy of Social Sciences (CASS).He noted, as the European debt crisis ceased, that speculative funds have returned to the emerging markets, notably after the U.S. Federal Reserve announced the second round of its quantitative easing policy."As the massive inflow of foreign exchange increases the domestic monetary base, it has become a major impetus of a broad money supply, which could exacerbate inflation," said Liu Yuhui, also a researcher with CASS.Hefty foreign exchange inflow usually goes together with soaring inflation. China's FOFE hit a record 525.1 billion yuan in April 2008. In the same month, China's Consumer Price Index (CPI), a main gauge of inflation, was up by 8.5 percent, which was unprecedented.Also, this October, the CPI rose by 4.4 percent, the highest amount in 25 months.Boosted by a massive trade surplus, the domestic monetary situation began easing in late 2008, as China's broad money supply exceeded 70 trillion yuan, surpassing the United States to become the world's largest.Li Daokui, a member of the monetary policy committee with the PBOC, said hefty money supplies posed huge risks to the nation' s banking system and, more imminently, would exacerbate the current inflation."The interest rate increase last month sent a signal that more such increases will come in the future," he said.
BEIJING, Nov. 24 (Xinhua) -- China would like to work with other governments and international organizations to assure positive results at the upcoming Cancun climate change conference, Chinese Vice Premier Li Keqiang said Wednesday.Li made the remarks during the China International Green Industry Expo 2010, which was scheduled to run from Wednesday to Saturday in Beijing."With an open and constructive attitude, China will promote international cooperation in green industry and combat climate change, as well as push forward trade, investment, technology cooperation and transfer," Li said.Chinese Vice Premier Li Keqiang (L front) views an exhibit as he visits the China International Green Industry Expo 2010 (CIGIE) in Beijing, capital of China, Nov. 24, 2010. The expo kicked off here on Wednesday.He also said that China would continue importing advanced international technologies and equipment in the fields and share market opportunities to provide mutual benefits.The development of green economy and green industry would rely on technological and institutional innovation. "Enterprises should speed up technological progress and focus on making breakthroughs in key technologies and promote industrialization, commercialization and mass production of these technologies," noted Li.The four-day expo has attracted more than 200 enterprises from 25 countries and regions. It is designed as a platform for enterprises to exchange information and display their latest achievements in areas such as energy savings, emission reductions and the recycling-based economy.

BEIJING, Jan. 10 (Xinhua) -- Chinese President Hu Jintao vowed Monday that the Communist Party of China (CPC) and the Chinese government will wage the fight against corruption with greater determination and more forceful measures as the situation remains "grave".Addressing a plenary session of the CPC Central Commission for Discipline Inspection (CCDI), the Party's anti-graft body, Hu said all work should be done with the fundamental interests of the majority of the people as the core concern.Hu, also General Secretary of the CPC Central Committee, said problems that seriously violated the public interest and sparked the most public complaints should be addressed to ensure social justice.He said efforts were needed to strengthen ties between the Party and the people and to enable the people to play a more active role in fighting corruption.Hu pledged to "combat graft strictly and punish corrupt officials severely" so as to win trust from the people.Hu admitted that prominent problems remained in the fight against corruption and efforts to build a clean government, and warned of a "grave situation and arduous tasks."He called for enhanced supervision and monitoring of the implementation of major central government and Party policies and measures and the promotion of a corruption-free work style among officials.He called for reinforced efforts to build a system to prevent and punish corruption."More efforts should be made to investigate graft in key industries and key posts," he said, stressing the supervision of procedures concerning the promotion of local officials to prevent abuse of power or other corrupt conduct.Figures from the CCDI show 146,517 officials across China were punished for disciplinary violations last year, including 5,098 leaders at the county head level or above and 804 officials who were referred for prosecution.Discipline inspection bodies received almost 1.43 million petitions and tip-offs last year and recovered 8.97 billion yuan (1.35 billion U.S. dollars) in economic losses for the state."All comrades in the Party must serve the people with all their hearts and use their power to seek benefits for them. Only by doing so can our work earn the most comprehensive and solid foundation among the people and stand the tests of storms and risks," Hu said.Hu said people-oriented education was needed to guide officials to "willingly stand beside the people, be emotionally close to the people and reply on the people in carrying out their duties."Hu called for the building of a scientific, democratic and lawful decision-making system that would take the people's benefits and ideas fully into account.Hu called for unsparing efforts to promote an efficient and legal work style and solve obvious problems concerning people's lives in order to ensure their economic, political, cultural and social rights.While urging grassroots officials to expand their knowledge and expertise through intensified education, Hu encouraged their superiors to fully understand the difficulties of grassroots work and to take good care of grassroots officials.Hu called on officials from discipline inspection departments at all levels to set an example and to initiate the people-oriented spirit in their work and fulfil their responsibilities to a higher standard.He called for improvements in the anti-corruption system in accordance with an amended anti-corruption regulation released last month.One of the latest CPC moves to battle corruption, the amended regulation adds articles detailing punishments for corrupt officials and sets out penalties for corrupt Party officials who have left their posts or retired.Along with 118 CCDI members, senior Chinese leaders, including Wu Bangguo, Wen Jiabao, Jia Qinglin, Li Changchun, Xi Jinping and Zhou Yongkang, attended the meeting, which was presided over by He Guoqiang, head of the CPC's anti-graft agency.
BEIJING, Dec. 15 (Xinhua) -- A senior leader of the Communist Party of China (CPC) Wednesday called upon Chinese people to stick to their hardworking spirit and devote themselves to their careers.Li Changchun, member of the Standing Committee of the CPC Central Committee Political Bureau, made the remarks after meeting with Jiang Hangang, a Chinese peacekeeping army officer.Though suffering from gastric cancer, Jiang, head of an engineering corps of the Beijing Military Area Command, led other soldiers and officers and successfully finished all tasks while in Liberia in 2008 for peacekeeping duties.Li Changchun (5th L, front), a member of the Standing Committee of the Communist Party of China Central Committee Political Bureau, poses for group photos with members of a report group, which held a meeting on Jiang Hangang (4th L, front)'s outstanding deeds, at the Great Hall of the People in Beijing, China, Dec. 15, 2010. Jiang won high praise from the Liberian government and officials of the United Nations."Jiang is the outstanding model for our country's peacekeeping troops... His exemplary stories reflect the excellent qualities and noble morality of today's soldiers and officers," Li said.Li urged all Chinese people to learn from Jiang's strong belief, hardworking spirit and the devotion to his career.
ASTANA, Dec. 28 (Xinhua) -- Chinese Foreign Minister Yang Jiechi met with Kazakh Prime Minister Karim Masimov here on Tuesday, and the two sides agreed to deepen cooperation in energy, infrastructure and non-resource areas.Yang said the two economies are complementary and the two sides should strengthen cooperation in energy, transportation infrastructure as well as trade and finance sectors within the framework of the Shanghai Cooperation Organization.Kazakh Prime Minister Karim Masimov (R) shakes hands with visiting Chinese Foreign Minister Yang Jiechi during their meeting in Astana, capital of Kazakhstan, Dec. 28, 2010.Kazakh Prime Minster Karim Masimov thanked China for help his country combat the financial crisis. He also praised the success of the Shanghai World Expo and the Guangzhou Asian Games.Yang started his three-day official visit to Kazakhstan on Monday.
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