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BEIJING, Sept. 11 -- Inflation eased to its lowest level in August since June last year, giving the government more policy leeway to prevent an economic slowdown. The consumer price index (CPI), the main gauge of inflation, rose 4.9 percent year-on-year, compared to 6.3 percent in July, the National Bureau of Statistics (NBS) said yesterday. The CPI has been sliding since May, but still many economists were caught by surprise by last month's drop because they had forecast it to be above 5 percent. The month-on-month fall was only 0.1 percent. But last month's producer price index (PPI), a gauge of factory gate inflation, rose a record 10.1 percent year-on-year, after jumping 10 percent in July. Nevertheless, the low CPI figure gives the government "more policy room to sustain growth," Citigroup economist Ken Peng said. He suggested the authorities consider further policy changes favoring growth, which could shift to full gear next month. Economic growth has been slowing since the second quarter of last year, when the government adopted monetary and credit measures to rein in inflation and prevent the economy from overheating further. Yet economists began warning of a recession since the beginning of this year, especially because the country's export sector, a key growth engine, started losing steam on weaker foreign demand. The government responded it would strive to maintain a stable economic growth this year, leading to speculation that it would soon ease the tightening measures. But any step to stimulate the economy, such as lower interest rates or faster loan growth, risks spurring demand and stoking inflation again. "Unless there's an abrupt slowdown, there's no need for a major change in the marco-control measures," said Lian Ping, an economist with the Bank of Communications. "The current 10 percent GDP growth is largely seen as acceptable." The CPI rise is likely to stabilize around 5 percent during the rest of the year, he said, because food prices may continue to drop. Inflation fell last month mainly because of a drop in food prices, which make up one-third of the inflation basket. Food prices slid 0.4 percent from July. A falling inflation rate gives the government a good chance to lift its price control on products such as fuel, water, and electricity further, Lehman Brothers economist Sun Mingchun said. In the past year, policymakers have managed to freeze the prices of public utilities, and fuel and power tariff. They introduced temporary price curbs on some other goods, too, to rein in inflation. Yet soaring labor and raw material costs, reflected in the rising PPI figure, have eaten into the profit of local enterprises because price control and fierce competition prevented them from passing the inflationary pressure on to consumers. Such price liberalization could make the CPI rise again in the next few months, Sun said. "But if implemented in a gradual and orderly way, inflation should remain below 6 percent year-on-year during the rest of the year."
MIANYANG, Sichuan, 23 (Xinhua) -- Premier Wen Jiabao continued his second trip around the quake disaster zone on Friday, visiting surviving students in Mianyang, one of the worst-hit cities in the May 12 quake. In a tent school, where more than 500 students from the destroyed Beichuan Middle School were studying, Wen encouraged them to study harder following the calamity. "Let us not forget the earthquake," he told the students in a tender voice. "Then you will know what life is all about -- it is bumpy, as the roads are." "Today, people save us and take good care of us. In the future, we will help them in return," the premier added. "Trials and tribulations serve only to revitalize the nation," he wrote on the blackboard to encourage them. Chinese Premier Wen Jiabao (C) salutes with the students to pay tribute to the quake victims during his visit to the makeshift tent school at Jiuzhou Stadium in Mianyang City, southwest China's Sichuan Province, May 23, 2008. Wen Jiabao went to the temporary schoolhouse of Beichuan Middle School and the makeshift tent school established at Jiuzhou Stadium in Mianyang on Friday to visit teachers and students who survived the May 12 earthquake. The students, many of whose 1,300 schoolmates and teachers were killed or missing, resumed classes on Monday. Wen also visited tent schools near the Jiuzhou Indoor Stadium in downtown Mianyang. There, he put on a red scarf and joined primary school students to salute the quake dead. During his visit on Friday, the premier underlined that providing shelters for the quake victims and preventing infectious diseases and secondary disasters are the priorities of the current relief work. His first trip to the region was just hours after the mid-afternoon earthquake jolted Sichuan.
BEIJING, July 13 (Xinhua) -- The Beijing municipal government said on Sunday that the city's state-owned enterprises (SOEs), institutions and social groups should adjust their working hours from July 20 to Sept. 20 to avoid traffic jams. A notice issued by the municipal government said that, except for schools and institutions that provide essential services, SOEs should operate from 9 a.m. to 5 p.m. The Beijing municipal government said on Sunday that the city's state-owned enterprises (SOEs), institutions and social groups should adjust their working hours from July 20 to Sept. 20 to avoid traffic jams Large shopping centers should open at 10 a.m. and stay open later in the evening. Other institutions should operate from 9:30 a.m. to 5:30 p.m. Government departments won't alter their hours, the notice said. The notice also encouraged institutions to handle business online if possible and arrange flex-time arrangements where feasible.
UNITED NATIONS, Sept. 24 (Xinhua) -- China will stick to the path of peaceful development and continue to pursue the policies of reform and opening-up and an independent foreign policy of peace, Chinese Premier Wen Jiabao said here Wednesday. "The whole world wants to know in what direction China is heading" after the Beijing Olympic Games, Wen said in a speech delivered at the annual high-level debate of the United Nations General Assembly. "Let me tell you in unequivocal terms that China will remain committed to the path of peaceful development, unswervingly pursue reform and opening-up, and continue to adhere to an independent foreign policy of peace," he said. "This is in the fundamental interests of the Chinese people and the people of all other countries. It is also in keeping with the trend of the world." Chinese Premier Wen Jiabao delivers a speech at the annual high-level debate of the UN General Assembly in New York, the United States, Sept. 24, 2008. Wen said the success of the Beijing Olympic Games has greatly inspired the Chinese people and given them even more confidence and strength to achieve modernization of the country. However, the premier noted that China is still a "developing country, where productivity remains low and further development is constrained by the shortage of resources, and energy and environmental consequences." To achieve the goal of modernization and build a strong, prosperous, democratic, culturally advanced and harmonious country, China will continue its reform and opening-up policy, he said. "It is a choice of vital importance to the development of China today, and it is also a strategy that will shape China's future," Wen said. The Chinese premier said his country is ready to make joint efforts with other countries for world peace and will develop ties with them on the basis of equality and mutual benefit. "The world needs peace, for only with peace can there be development," he said. "The Chinese government is committed to an independent foreign policy of peace and stands ready to work with other countries to advance the noble cause of peace and progress of mankind," he added. China is ready to develop friendly relations with all countries "on the basis of equality and mutual benefit rather than on ideology or political system," he said. In handling international relations, China "does not seek to build alliances or become a leader and will never do so in the future," he said. The Chinese leader also called for the peaceful settlement of international disputes. "As a permanent member of the UN Security Council, China will continue to play an active and constructive role in promoting the peaceful settlement of international hotspot issues and regional conflicts," he said. Wen also called on the people of all countries to join hands in making the world a better place. Given the global nature of issues threatening the survival and development of humanity, no country can expect to stay away from the difficulties or handle the problems all by itself, he said. "The ongoing financial volatility, in particular, has affected many countries and its impact is likely to become more serious," he said, adding that "to tackle the challenge, we must all make concerted efforts." "So long as the people of all countries, especially their leaders, can do away with hostility, estrangement and prejudice, treat each other with sincerity and an open mind, and forge ahead hand in hand, mankind will overcome all difficulties and embrace a brighter and better future," he said. Wen said China, as a responsible and major developing country, is ready to work with other members of the international community to boost cooperation, share opportunities, meet challenges and contribute to the harmonious and sustainable development of the world.
BEIJING, Sept. 29 (Xinhua) -- Chinese President Hu Jintao said here Monday the successful hosting of the Beijing Olympics and Paralympics symbolizes China's capability of making more contributions to the human civilization. Hu made the remarks at an awarding meeting for people who made outstanding contributions to the Beijing Olympics and Paralympics. Chinese President Hu Jintao shakes hands with gold medal winner Cheng Fei before the awarding meeting for people who made outstanding contributions to the Beijing Olympics and Paralympics at the Great Hall of the People in Beijing, capital of China, on Sept. 29, 2008.Wu Bangguo, chairman of the National People's Congress (NPC) Standing Committee, Premier Wen Jiabao, and other top leaders Jia Qinglin, Li Changchun, Xi Jinping, Li Keqiang, He Guoqiang and Zhou Yongkang also attended the meeting. Hu said that the hosting the Olympics offered the world an opportunity to know more about China and China to know more about the world. "We would definitely cherish and carry on the spiritual heritage from hosting the two successful Games," Hu said. The awarding meeting for people who made outstanding contributions to the Beijing Olympics and Paralympics is held at the Great Hall of the People in Beijing, capital of China, on Sept. 29, 2008.On behalf of the Chinese people and government, Hu expressed gratitude to the Olympic family, the international community and the participating countries and regions, as well as the people who made great efforts and sacrifices for the Games. Hu thanked overseas Chinese for their support, mentioning donations for building Olympic facilities such as the National Aquatics Center, also known as the Water Cube swimming pool, and the supports to the torch relay of the Beijing Olympic Games in many countries. "After strenuous work in the past seven years," Hu said, "China fulfilled the solemn promise to the international community that it would organize a wonderful games for the world." Representatives of prize-winning teams and organizations attend the awarding meeting for people who made outstanding contributions to the Beijing Olympics and Paralympics is held at the Great Hall of the People in Beijing, capital of China, on Sept. 29, 2008. The central authorities awarded 340 teams or organizations as well as 566 individuals for their outstanding work for the Olympics and Paralympics during the meeting held here on Monday."We achieved great success and spread the great Olympic spirit, which benefited the friendship and mutual understanding among the world people," Hu said. "We imprinted the Olympic history book with a unique Chinese stamp." Hu asked the Chinese people to sum up the treasured experience in organizing the excellent Olympic Games and Paralympic Games and promote innovation in governance and management. "We should further free our mind, take bolder steps in the process of reform and make more innovations," Hu said. Hu emphasized that the success of hosting the great Olympics was achieved after a disastrous earthquake hit Sichuan Province on May 12. "No hardship could ever stop the courageous Chinese nation," Hu said, adding that the Beijing Olympics showcased China's advantage of mobilizing collective wisdom and strength of the nation in carrying out significant missions. Representatives of Chinese athletes attend the awarding meeting for people who made outstanding contributions to the Beijing Olympics and Paralympics is held at the Great Hall of the People in Beijing, capital of China, on Sept. 29, 2008.The Olympic spirit, said Hu, would promote the Chinese people to advance their civilization, strengthen the Chinese cultural soft power, enrich their own social life and boost their morale. The president praised all the people and organizations which had made different contributions in the latest seven years after Beijing won the bid to host the 2008 Games. In his speech, Hu also briefly reviewed the history of Chinese Olympic participation including the first proposal to host an Olympic Games one century ago and the remarkable first gold medal achieved at Los Angeles Games in 1984. The central authorities awarded 340 teams or organizations as well as 566 individuals for their outstanding work for the Olympics and Paralympics, including some from the more than 1.7 million volunteers for the two games. The Olympic host country also gained unprecedented glory in sports, winning 51 gold medals. At the awarding meeting, which was attended by more than 6,000 people, Vice President Xi Jinping read the decisions of the Communist Party of China (CPC) Central Committee and the State Council on awarding organizations and individuals for their work for the Olympics. The State Council also decided to award the Beijing Organizing Committee for the Olympic Games (BOCOG) and the Hong Kong sub committee for the Olympic equestrian competition. BOCOG President Liu Qi, who is also secretary of the CPC Beijing Municipal Committee, representatives from athletes, volunteers, organizers, security workers and the armed forces also spoke at the meeting. Xia Geng, mayor of the Olympic co-hosting city Qingdao, Liu Chunhong, Olympic weight-lifting gold medalist and other volunteer and organizer representatives also gave speeches at the meeting.