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BEIJING, Nov. 26 (Xinhua) -- China's State Council, or the Cabinet, said on Wednesday that more efforts would be made to encourage enterprises to upgrade technology and engage in independent innovation.     It also said there would be policies to promote merger and acquisition among enterprises.     The policies were clinched at an executive meeting of the State Council, presided over by Premier Wen Jiabao. The meeting was held to discuss measures to address difficulties faced by enterprises and promote economic growth and deliberate plans to reform finished oil pricing mechanism and fuel taxes and fees.     According to the meeting, plans would be drawn up to help some key industries, including steel, auto, ship manufacturing, petrochemical, light industry, textile, nonferrous metals, equipment manufacturing and information technology.     The meeting urged banks to increase credit supply to help small and medium enterprises overcome difficulties.     To offset adverse global economic conditions, the State Council on Nov. 9 has announced a 4 trillion yuan (585.7 billion U.S. dollars) stimulus package to boost domestic demand. This will be combined with other boosting measures, such as loosening credit conditions and cutting taxes.     The huge amount of money will be spent over the next two years to finance programs in 10 major areas, such as low-income housing, rural infrastructure, water, electricity, transportation, the environment, technological innovation and rebuilding after several disasters, most notably the May 12 earthquake.     The State Council also discussed the reform plans of finished oil pricing mechanism and fuel tax and fees at the meeting. It decided to make public the two draft reform plans to solicit public advice.     According to the National Development and Reform Commission, the government has been studying a fuel tax to replace the current road tolls imposed upon vehicles.     The long-awaited fuel tax and fee reform was first proposed in 1994.     The State Council meeting also reached decisions to increase the storage of key materials and resources, accelerate development of the service industry and enhance measures to promote employment and social security.     More education and job training would be provided among the government's efforts to increase employment. This education and training should also cover the lay-off workers and rural laborers who returned from cities because of unemployment, according to the meeting.

BEIJING, Nov. 17 (Xinhua) -- Chinese President Hu Jintao recently made a site tour in Ansai County, Shaanxi Province, to publicize a campaign for the Scientific Concept of Development.     It's an ideology with the same principles of the previous Party leaders' theories known as Mao Zedong Thought, Deng Xiaoping Theory and the Important Thought of "Three Represents". The theories all say the CPC has always represented the most advanced productivity and culture in China, as well as the most fundamental interests of the majority of the Chinese people.     During his tour, which took place October 29-31, Hu explained the Scientific Concept of Development which was adopted at the Third Plenary Session of the Seventeenth CPC Central Committee.     While talking with villagers in Hougoumen, Ansai County, Hu said the new policies, based on a practice of the Scientific Concept of Development, will bring substantial benefits to farmers by allowing them to lease their rights to contract cultivated land and forests. Undated photo shows General Secretary of the Communist Party of China (CPC) Central Committee Hu Jintao (R), who is also Chinese President and Chairman of the Central Military Commission, chats with a villager during his visit to Hougoumen Village of Yanhewan Town in Ansai County of Yan'an City, northwest China's Shaanxi Province. Leaders of the CPC have visited nine places in the country to find out how well the Party members, officials and common citizens were learning and implementing Scientific Outlook on Development. It is considered an important guiding principle for China's economic and social development.    In the past, villagers were not allowed to lease their rights and as a result, their land was left unattended when they went to cities as transient workers.     "I believe that with the good policies of the Party and the hard efforts by the villagers, you will lead a better life in the future," said Hu, who is also the general secretary of the CPC and chairman of the Central Military Commission.     This is his second visit to Hougoumen Village. On the eve of the traditional Chinese Lunar New Year in 2006, Hu spent the festival night with villagers, having meals and joining in festive activities including a traditional dance.     Ansai, a county subordinate to Yan'an City, is Hu's site for the on-the-spot study of the ideological drive. Yan'an served as the capital for the CPC-led revolutionary base during the 1930s-40s, before the Party took over the power in 1949.     During his stay in Hougoumen this Oct., Hu learned about new progress made by the leadership of the village's Party branch. The villagers have had their income remarkably increased and their living standards much improved, Hu was told.     The village insisted on a Party Member Promise System. All the village cadres and applicants for Party membership are required to make the promise, according to Yang Fengqi, head of the village's Party branch.     Hu called the Party Member Promise System a good way to help Party members and cadres display their exemplary role.     "We must do what we have promised to do by actions," he stressed.     Hu visited a class of the local elementary school and talked with Kang Haifa, a villager whose family spent the 2006 Lunar New Year's eve with the leader at their cave house. Hu encouraged Kang, an agricultural technician, to help villagers with his skills on vegetable planting.     While in Ansai, the leader also visited Longshitou and Fangta villages and a rural hospital in Jianhua Town.     Showing concern for the heath care of rural people, Hu said the recent Third Plenary Session of the 17th CPC Central Committee decided to form a three-level medical network in the countryside. He said a health center will be set up and perfected for each town or township.     During his tour, Hu also visited the county government's complaints reception bureau and talked with officials about rural people's concerns. The officials told him that local villagers mainly cared lawsuits, land confiscation, reclamation of cultivated land to forests and contracting rights for farmland.     In meeting with the leader, local officials and villagers informed Hu of current reform of the managerial rights in the tree-planting sector. Now with the new policy, local people are working diligently to manage the forest while protecting the environment and ecology.     Hu urged local people to plant more trees in Ansai as it is located on the Loess Plateau, which is vulnerable to ecological damage.     At the end of his study trip, the top leader hosted a gathering to hear reports by some local officials who pledged to promote economic development by relying on science and technological progress.     In a key-note speech, Hu called for deepening awareness of the ideological drive, correctly understanding the general demands of the Party Central Committee and further promoting the implementation of the Scientific Concept of Development.

BEIJING, Oct. 31 (Xinhua) -- China's decision to cut interest rates on Thursday is part of its flexible monetary policy to cope with the world financial crisis and boost domestic economy, a central bank spokesman said on Friday.     Li Chao, spokesman of the People's Bank of China (PBOC) explained the government's cut in interest rates for the second time in one month.     On Wednesday, the PBOC announced to cut interest rates by 0.27 percentage points as of Oct. 30 to spur economic growth. The benchmark one-year deposit rate dropped to 3.60 percent from 3.87percent, while the benchmark one-year lending rate fall from 6.93 percent to 6.66 percent.     The previous cut was on Oct. 8, when the PBOC announced a lowering of deposit and lending rates by 0.27 percentage points and decided to cut the reserve-requirement ratio by 0.5 percentage points from Oct. 15.     Li said the move was in response to a spreading and worsening world financial crisis. "The severe crisis was beyond most people's expectations."     He said: "China's economy relies highly on external markets. It is very necessary for the country to adjust economic policy, including monetary policy, in a timely and flexible manner to reduce the negative impact to a minimum."     "Recently, China's exports have weakened as a result of weak world demand. Domestic export-oriented enterprises, especially those coastal based companies, face difficulties," he added.     The country's export value in the first three quarters was 1.07trillion dollars -- up 22.3 percent -- the growth rate was 4.8 percentage points lower, official figure showed.     "Meanwhile, the nation's inflation pressure has been eased," he said, adding the latest interest rate cut aims at maintaining the energy of China's economic growth.     China's gross domestic product (GDP) grew to 20.16 trillion yuan (2.96 trillion U.S. dollars) in the first three quarters of this year, up 9.9 percent from the same period of last year. The growth rate was 2.3 percentage points lower than the same period last year.     Consumer price index (CPI), the main gauge of inflation, rose 4.6 percent in September over the same period last year, off from the 12-year high of 8.7 percent in February.     When asked the reason why the government only reduced interest rates and left the reserve-requirement ratio unchanged in the latest move, Li said this is because liquidity of the country's bank is adequate.     Li said to cope with the international financial crisis and maintain sound and relatively fast national economic growth, the central bank has removed mandatory restriction on the commercial banks' loan plan.     He said that China has confidence that it can resist the world financial crisis, as the country has great potential in expanding its domestic demand, and the financial system is stable.     He called for cooperation between countries worldwide to cope with the crisis, and to carry out international financial system reform