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BEIJING, Dec. 6 (Xinhua) -- A well-known economist said Monday that the biggest problem in China is not inflation, but shifting its economic structure to maintain sustainable growth."The biggest challenge faced by China is economic restructuring in order to shift the economy to a more balanced way that will provide sustainable economic growth," Stephen Roach, former chairman of Morgan Stanley Asia, told Xinhua."In the post-crisis environment, the shift means to build a consumer-led economy, and that is the overriding challenge in China," said Roach, who currently serves as non-executive chairman of Morgan Stanley Asia.Residents' incomes in China remain at a low level. "People's incomes are only 42 percent of the GDP, whereas in the US the rate is 86 percent. So the government should raise the income of the citizens, especially when China wants to stimulate domestic private consumption," said Roach."Of course, that does not mean the Chinese government should ignore the risk of higher inflation," he said.Official data showed that China's October Consumer Price Index (CPI), a major gauge of inflation, rose to a 25-month high at 4.4 percent."There is a certain amount of momentum to inflation, so it's likely to be the a problem over the next 12 months. If the government acts quickly, it will be able to limit the problem, or else China could be facing this problem in 2012 as well," said Roach.Roach suggested China should take broad and comprehensive approaches in dealing with inflation, and the medium-term goal of the shifted economic structure need to be maintained."The government has to demonstrate its resolve in dealing with inflation, and property market assets. It's a challenge, but I think the government is up to the challenge," according to Roach.
SEOUL, Nov. 12 (Xinhua) -- Chinese President Hu Jintao and leaders of other Group of 20 (G20) members gathered here Friday to address the challenges to the ongoing global economic recovery and work out strategies to achieve strong, sustainable and balanced global growth.President Hu, who participated in the G20 summits in Washington in 2008, in London and Pittsburgh in 2009, and in Toronto last June, is expected to expound China's stand on the major issues to be discussed at the fifth meeting in the South Korean capital, according to Chinese officials.At the Seoul summit, the leaders will discuss the world economic situation, the "Framework for Strong, Sustainable and Balanced global growth," the reform of global financial institutions, the strengthening of financial regulations, a global financial safety net and development issues.Chinese President Hu Jintao attends the inauguration of the Group of 20 (G20) Summit in Seoul, capital of South Korea, Nov. 12, 2010."The G20 summit to be held in Seoul, South Korea, is the first one of its kind to be held in an emerging economy and in Asia, hence it is of great significance to the development of the G20 mechanism," President Hu said in a written interview with South Korean media last Tuesday.Hu said the Seoul summit should focus on the following issues:-- To continue to strengthen coordination of macro-economic policies using an "in-the-same-boat" spirit and mutually beneficial and win-win principles, and to send to the market positive signals that G20 members were unified in tackling the great challenges of the world economy so market confidence could rally and the momentum of the world economic recovery would be secured.-- To push forward the reforms of the international financial system, to strengthen supervision of the international financial market, and to increase the say and the representation of emerging and developing countries in international financial institutions.-- To push forward a solution to the unbalanced development between developed and developing countries and to provide political support to the realization of UN Millennium Development Goals.-- To oppose trade protectionism and to push forward the Doha Round of World Trade Organization talks to achieve comprehensive and balanced results and its development goals.The previous four G20 summits formulated measures to deal with the international financial crisis. The summits have played an important role in returning the world economy to growth, stabilizing international financial markets and ensuring the confidence of the public and business.When they met last June in Toronto, the G20 leaders agreed on the importance of safeguarding and strengthening the recovery while laying the foundation for strong, sustainable and balanced growth, and strengthening the financial systems.At the Seoul Summit, according to the host South Korea, the G20 will build on past agreements, while introducing new agenda items that support the same fundamental goals.The G20 was established in 1999 to bring together strategically important industrialized and developing economies to discuss key issues in the global economy.It includes Argentina, Australia, Brazil, Britain, Canada, China, France, Germany, India, Indonesia, Italy, Japan, Mexico, Russia, Saudi Arabia, South Africa, South Korea, Turkey, the United States, and the European Union (EU).Together, G20 members represent around 90 percent of global gross national product, 80 percent of world trade (including EU intra-trade) and two-thirds of the world's population.
BEIJING, Jan. 11 (Xinhua) -- A Senior Communist Party of China (CPC) leader Tuesday said government and Party officials should make more effort to deal with petitions and resolve public grievances.Zhou Yongkang, a member of the Standing Committee of the Political Bureau of the CPC Central Committee, made the remarks at a meeting in Beijing, where officials discussed work on petitions this year.Despite a drop in petition numbers last year, China would still face a lot public petitions this year since some people still had living difficulties while there were still too many social management problems, Zhou said.Government officials and Party cadres, particularly those at city and county levels, should meet petitioners in person and handle their appeals on a one-on-one basis, he said.Greater efforts must be paid to address unresolved petitions within a time limit, and to prevent more petitions at root by avoiding risks to stability in making policies, said Zhou, who is also the secretary of the Commission for Political and Legal Affairs of the CPC Central Committee.Zhou said the government must not simply reject public petitions and should instead meet people's legitimate demands in petitions.Petitioners who disrupt public order should be handled in accordance with the law, he said.
BEIJING, Dec. 16 (Xinhua) -- Chinese Vice Premier Li Keqiang has urged more efforts to maintain steady and rapid economic growth and accelerate the transformation of the economic development pattern over the next five years.Li made the remarks Wednesday at a seminar on goals and policies of China's key 12th Five-year (2011-2015) Plan, according to a statement by the State Council, or China's Cabinet, on Thursday.At the seminar, the State Council solicited advice from senior officials of Tianjin Municipality, Jilin, Jiangsu, Henan, Yunnan and Gansu provinces, on the draft of the guidelines of the five-year plan.After listening to suggestions from provincial-level officials, Vice Premier Li said it is imperative for local governments to accelerate the transformation of the economic development pattern, while maintaining steady and rapid economic growth in the long term to benefit all Chinese people.As for the work next year, Li said local governments should more actively and prudently handle the relationship between keeping steady and rapid economic development, restructuring the economy and managing inflation expectations."More efforts should be provided to stabilize prices next year," he told the seminar.When planning goals and strategies for the development over the next five years, Li said, major indicators, such as the economic growth rates, should be defined "reasonably" and binding targets should be emphasized.Over the next five years, China will open wider to the outside world, expand its domestic consumption, push the reform of the income distribution system, create more jobs and improve its basic public service and social security system, he said.Li noted that local governments should work hard to allow residents' income growth to keep pace with the economic growth rate, and assure that laborers' wage hikes reflect productivity increases.
MOSCOW, Dec. 28 (Xinhua) -- Visiting Chinese Assistant Foreign Minister Cheng Guoping held talks with Russian Deputy Foreign Minister Alexei Borodavkin here on Tuesday, exchanging views with the Russian side on the current situation of the Korean Peninsula.The two sides reached consensus on the issue, saying both China and Russia urged the Republic of Korea (ROK) and the Democratic People's Republic of Korea (DPRK) to jointly mitigate tensions on the peninsula and to resume direct dialogue at an early date.Escalating tensions on the peninsula may even trigger a war, which is absolute not in line with the interests of the relevant sides including Russia, the United States and Japan, the two diplomats said in a joint statement.The ROK and the DPRK are the most susceptible if the war broke out, the statement added.China and Russia will never allow any war on the peninsula, or the lingering tensions between the two countries. Thus, China and Russia will continue to further cooperation and coordination on the issue and to push forward the direct dialogue between the ROK and the DPRK, the diplomats said.They said China and Russia are calling for joint efforts from relevant sides to stabilize the situation on the peninsula and not to impair peace, safety or stability.The two sides also reiterated that the six-party talks were proved to be the most realistic and most effective solution to solving the problem.Currently, emergency consultations among the heads of delegations to the six-party talks are in urgent need, they added.Launched in 2003 and stalled since the end of 2008, the six- party talks on the Korean Peninsula nuclear issue involve China, the United States, the DPRK, the ROK, Russia and Japan.The two sides also exchanged views on bilateral ties, including high-level exchanges, the overall promotion of China-Russia strategic partnership of coordination, and several other issues.