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BEIJING -- China will continue to spend more on education next year and spread the free nine-year compulsory education to urban children, said finance minister Xie Xuren.The government would continue to improve the funding system to guarantee free nine-year compulsory education currently enjoyed by 150 million rural children, while spreading it to their urban counterparts next year, Xie told an annual conference of the Ministry of Finance in BeijingStarting from the spring term, China would increase the funding for free textbooks used for the national compulsory courses, and the local governments would provide more money for free textbooks for local compulsory courses, he said. Local governments would also provide scholarships to cover the living costs of boarding students from poor families. The central government would provide half of the education funding for areas in Central and West China, while provincial governments in those areas would cover the rest of the costs.Local governments in East China would provide all education fees with some supplementary funding from the central government.Xie said the government would issue new standards for per capita expenditure of students in primary and middle schools, and put those standards into effect within the next two years.He said the allowance for maintenance and refurbishing of rural schools in Central and West China would also be raised with special financial support to high-altitude and cold areas.In addition, the government would continue free education for students taking courses for teaching careers at normal schools and provide scholarships for poor undergraduates and students at vocational schools.According to Xie, the first 11 months saw  557.8 billion yuan (about 74.3 billion US dollars) of fiscal expenditure used for education, up 32.7 percent compared with the same period last year.As a result of the implementation of scholarships for the poor, about four million college students and 16 million secondary vocational school students had benefited.

China's trade in goods will surpass .1 trillion in 2007, a 20 percent year-on-year increase, the Ministry of Commerce said in a report Thursday. Trade will increase in a fast yet stable manner as China optimizes economic structure, improves efficiency and lowers energy consumption, said the report, which is based on a review of China's foreign trade in 2006 and the first quarter of 2007. China's total import and export volume amounted to .76 trillion in 2006, up 23.8 percent year-on-year. China remains the third-largest country in the world by trade volume, according to the report released by the China Academy of International Trade and Economic Cooperation, a research body under the Ministry of Commerce. The domestic and foreign trade environment and the macro-control policy have contributed to the rapid increase, the report said. The trade surplus continued to grow, reaching 7.5 billion in 2006, according to the report. Exports of machinery and electronic products and hi-tech products increased 28.8 percent and 29 percent respectively in 2006. Imports of primary products reached 7.1 billion, up 26.7 percent, while imports of machinery and electronic products increased faster than the previous year, up 22.1 percent. General trade - imports and exports of goods by enterprises in China with import-export rights - increased at a rate of 26 percent, 5.1 percentage points higher than last year, while the increase of processing trade slowed. Exports of privately owned enterprises surpassed State-owned enterprises for the first time, up 43.6 percent. The trade volume of private enterprises was up by 36.3 percent, while the trade volume of foreign-invested enterprises increased by 23.3 percent, faster than State-owned enterprises. Trade with foreign invested enterprises took in 58.9 percent of the total trade. Trade with the European Union, United States and Japan continued to grow, as did trade with emerging markets, including India, Brazil, and South Africa. Trade volume in the first quarter of 2007 reached to 7.7 billion, up 23.2 percent, while the trade surplus nearly doubled to .4 billion from the same time last year. Trade in goods increased by 27.4 percent from January to April, faster than processing trade. Gov't to raise export taxesChina will raise export taxes by 5 to 10 percent on a range of products, including steel, aiming to slow the country's export boom and ease the country's trade surplus, government sources said yesterday. Beijing also plans to further reduce tax rebates on some exports, including some basic materials and textiles. It would remove import taxes on coal and reduce import taxes on other raw materials, according to officials from three government bodies - the National Development and Reform Commission, the Ministry of Commerce, and the State Administration of Taxation. "The plan has already been established basically," said a source in Beijing, noting that the changes could go into effect as early as June 1. China's exports of steel products hit a record 7.16 tons in April, as mills and traders raced to beat a change in export policy that took effect on April 15. China removed export rebates on most types of steel products while reducing the rebate on more value-added products to 5 percent. A proposal to raise the export taxes on steel billet and other semi-finished products to 20 percent has been discussed since early May, but has not yet been approved by the central government, a source said.

 BEIJING -- China's economy in 2008 will maintain a robust and stable momentum despite uncertainties ahead, according to signs revealed during the country's top legislative and political advisory sessions. Liu Shucheng, a political adviser and director of the Economic Research Institute of the Chinese Academy of Social Sciences (CASS), believes it is almost out of question for China to score 10 percent of gross domestic product (GDP) growth this year."China's economy has maintained a long period of continued and stable growth, which is unprecedented since the founding of New China (in 1949)," he said.Justin Yifu Lin, a deputy to the National People's Congress (NPC) and the World Bank's chief economist, holds a similar view, saying China's economy would be affected little by the U.S. subprime crisis."The demand by the United States, China's second largest trade partner, would not decrease by a large margin as most of Chinese exports to it were low- and middle-end," Lin said.Despite the sound economic expansion on the whole, Zhang Quan, an NPC deputy and head of Shanghai environmental protection administration, held that China should be fully prepared for the uncertainties ahead."Risk prevention capability should be further strengthened. Just as an old Chinese saying goes: be prepared for danger in times of safety," he said.In his government work report at the NPC session, Premier Wen Jiabao said, "There are quite a few uncertainties in the current economic situation home and abroad, so we need to keep close track of new developments and problems, properly size up situations and take prompt and flexible measures to respond to them while keeping our feet firmly rooted in reality."China's GDP in 2007 reached 24.66 trillion yuan, an increase of 65.5 percent over 2002 and average annual increase of 10.6 percent. However, the consumer price index (CPI) in 2007 rose 4.8 percent year-on-year, the highest since 1997 and well above the 3 percent target, mainly due to rises in food and housing costs. In January this year, monthly CPI rose 7.1 percent, the highest monthly surge in the past 11 years.Meanwhile, the U.S. Federal Reserve cut interest rate six times in seven months. The European Central Bank (ECB) held key interest rate steady for fears of further inflation in the eurozone as inflation remained a record high of 3.2 percent since the beginning of the year.In general, the impact from U.S. subprime crisis on global economy is not clear. And there is no consensus on how international oil price and price hikes would impact on inflation.Under such circumstances, Premier Wen called for the appropriate pace, focus and intensity of macroeconomic regulation to sustain steady and fast economic development and avoid drastic economic fluctuations.The premier said China would strive to keep this year's CPI increase at around 4.8 percent while following a prudent fiscal policy and a tight monetary policy.As the U.S. newspaper International Herald Tribune observed from the premier's report, the price hike has become the top concern of Chinese government. The main task is to rein in growing inflation and prevent the economy from being overheated.China's top economic planner, central bank governor and financial minister gathered at a press conference on Thursday to explain government measures to regulate macro-economic growth and contain rising inflation.To prevent fast economic growth from becoming overheated growth and keep structural price increases from turning into significant inflation, the People's Bank of China raised the reserve requirement ratio by half of a percentage point to 15 percent on January 25, the highest since 1984. In 2007, the central bank had raised the ratio ten times and benchmark interest rate six times.Economists believe the measures is to ensure sound economic growth and stabilize market anticipation of inflation. The central government has regarded curbing price hikes as the "rigid lever" for this year's macroeconomic regulation while saving room for economic structure adjustment.For low-income earners, who are affected most by growing inflation, a protective umbrella will be provided by the government that advocates "putting people first"."I believe the government will make greater efforts to solve social issues and improve people's livelihood through increasing fiscal revenue and making use of other resources," said Jia Kang, a political advisor and director of the Research Institute for Fiscal Science under the Ministry of Finance.Indeed, Premier Wen's report showed unusual concern on the issue of prices, and came up with nine measures, short- and long-time, to increase effective supply and curb unreasonable demand.These measures include expanding production, especially the production of the basic necessities of life such as grain, vegetable oil and meat as well as other commodities in short supply, speeding up improvement of the reserve system, promptly improving and implementing measures to aid the low-income sector of the population and to make sure that the prices of the means of production, particularly agricultural supplies, do not rise rapidly.

Many parts of China experienced extreme weather conditions including heatwaves, storms and floods last month, the China Metrological Administration (CMA) said on Friday.Vehicles drive along a flooded street in Guangzhou, South China's Guangdong Province August 14, 2007. Downpours caused flooding in the city and paralyzed local transport. [Xinhua]Data indicated that last month's average temperature reached 21.6 C, 1.1 degrees warmer than usual. This is also the second-highest average temperature since 1951 and only 0.3 degrees lower than last August's average of 21.9 C, said Zhu Qiwen, deputy chief of the disaster forecasting and relief department of the CMA.Northwest China's Qinghai Province was hit by its worst heatwave since 1951, with high temperatures also roasting Beijing, Gansu, Tibet and Inner Mongolia.CMA head Zheng Guoguang said the country has been more frequently hit by extreme weather conditions this year.The conditions match predictions in a weather forecast report jointly published by the CMA, the Ministry of Science and Technology and the Chinese Academy of Sciences.It says that China's average temperature rose by 0.5 to 0.8 degrees in the 20th century. And the extreme weather's frequency and intensity are all under dramatic change.The CMA's list of extreme weather events includes heavy rains and floods in East China's Shandong Province and Northwest China's Xinjiang Uygur Autonomous Region where rainfall increased 50 per cent. The severe flooding also triggered landslides, which resulted in 89 deaths in Southwest China's Yunnan Province.Further north and west, Inner Mongolia Autonomous Region, Shaanxi Province and Chongqing Municipality suffered from ongoing droughts.Other events include lightning strikes that killed 109 and wounded another 43 last month. More than 588,000 people were forced to evacuate their homes in Central China's Hunan Province in the wake of Typhoon Sepat, which has left two people dead and seven missing in the province. 

BEIJING - The world's most populous nation began its week-long Lunar New Year holiday on Wednesday, but hundreds of thousands of people will probably spend the biggest festival of the year in the cold and dark.Currently, more than 3,000 people, including electricians, soldiers and armed police are struggling to repair power lines damaged by prolonged snow, rain and sleet to restore the power supply for Chenzhou, a city of about 4 million in central China's Hunan Province, which started its 12th day of power blackouts and water cuts on Wednesday.Staff workers of Hunan Grid repair the collapsed high-voltage power transmission tower in Changsha, capital of South China's Hunan Province, Feb. 3, 2008. [Xinhua] Wednesday marks the eve of Lunar New Year, known as Spring Festival, the most important festival for family gatherings in China with a population of 1.3 billion."Parts of the power lines have been recovered, and power supply will restore gradually for citizens in Chenzhou starting today," said Huang Qiang, vice general manager of the Hunan Electric Power Company under the State Grid Corporation of China.But power service is not expected to be resumed by 6:00 p.m. Wednesday, in eight counties, including Guiyang, Jiahe in Hunan Province, Zixi, Lichuan, Yihuang and Le'an in Jiangxi Province, Pingtang in Guizhou Province and Ziyuan in the Guangxi Zhuang Autonomous Region, the disaster relief and emergency command center under the State Council, China's cabinet, said in a statement late Tuesday.Freak winter weather featuring prolonged snow, rain and sleet since mid-January in China's eastern, central and southern regions has downed power lines, covered roads with thick ice, brought trains, buses and planes to standstill and stranded millions of people.The snow havoc, the worst in five decades, and even in a century in few areas, has led to deaths, structural collapses, blackouts, accidents, transport problems and livestock and crop losses in 19 provinces, municipalities and autonomous regions, according to the Ministry of Civil Affairs.More than 100 million people have been affected, and at least 60 people have died in the freezing weather.