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BEIJING, May 6 (Xinhua) -- China's central bank said Wednesday the economy is doing "better than expected" in the first quarter, and pledged to maintain "ample" liquidity in the financial system for economic recovery.     China would stick to its moderately easy monetary policy and ensure "ample" liquidity at banks, the People's Bank of China (PBoC) said in its quarterly monetary policy report posted on its website.     The country has pumped 4.58 trillion yuan (670 billion U.S. dollars) of new loans into the economy in the first quarter to stimulate growth.     The figure is already nearing 5 trillion yuan of new loans targeted for the whole year. In March alone, new loans increased by a record 1.89 trillion yuan.     The country's financial institutions and enterprises would digest the huge amount of new loans in the following months, the report said.     Industry insiders have said credit extended by China's banks in April may have dropped to above 600 billion yuan after staying at above 1 trillion yuan for three straight months.     The central bank said new lending from commercial banks focused on government-backed projects. It encourages more bank loans to be channeled to small and medium-sized enterprises as they play an important role in the national economy and in increasing employment.     The central bank said in the first-quarter monetary policy report it would continue to instruct financial institutions to extend new loans, despite the earlier surge.     The pick-up in bank lending is conducive to stabilize the financial market and boosting market confidence, PBoC said. Meanwhile, the bank urged lenders to improve credit quality to avoid a possible rebound in bad loans.     There have been "positive changes" in the economy in the first quarter, the bank said, echoing remarks made by Premier Wen Jiabao last month.     The quarter-on-quarter growth is improving, compared to the fourth quarter of last year, it said, without giving specific figures.     China's economy expanded 6.1 percent in the first quarter, the lowest pace in 10 years and down from 9 percent in the fourth quarter last year.     The central bank also said foundations for the recovery are not solid, as uncertainties in external economies still exist and private investment is yet to become active with new lending concentrated on government projects.     In listing uncertainties ahead, the bank said the country still has to battle against the financial crisis that is unfolding and a collapse in external demand that is hurting exports.     The country is also under great pressure to create enough jobs and from a slower growth in residents' income, which would suppress future consumption, it said.     The bank also warned overcapacity and insufficient demand may drive prices lower in the country with the world economy in a downturn.     But it also said continued falls in prices may become less likely along with the world recovery, a turnaround in the national economy and fast credit growth.     "Prices of primary products and assets may rebound quickly once investor confidence is restored, as the global credit is relatively loose thanks to injection of liquidity and stimulus packages across the world," the bank said.     The central bank also said it was concerned that the extraordinary monetary policy adopted by other major economies would result in inflation risks.     It referred to the quantitative easing policy adopted by the U.S., Japan, Britain and Switzerland to pump cash into their economies.     The quantitative easing policy meant increasing currency supply through purchasing mid- and long-term treasury bonds after central banks cut interests rates to near zero.     The extraordinary monetary policy harbored huge risks for international financial markets and the global economy, said the central bank.     It would increase the risk of global inflation, said the central bank, suggesting it would create new assets bubbles and inflation if central banks of major economies failed to mop up thehuge liquidity when the global economy recovered.     "A policy mistake made by some major central banks would put the whole world in risk of inflation," it said.     The quantitative easing policy would also make exchange rates of major currencies more volatile, according to the report.     The central bank cited the U.S. move to purchase treasury bond in March as an example, saying although the dollar had appreciated against other major currencies, it fell after the purchase.     PBoC said the policy would leave the bond markets subject to fluctuations.     It said massive purchase of mid- and long-term treasury bonds may keep yield at a low level. But in the long run, as the financial markets returned to stability and the economy recovered, inflation expectations would grow, interest rates would rise, and bond prices would adjust sharply, according to the report.

BEIJING, May 27 (Xinhua) -- China's State Council announced Wednesday further support policies, including expanded export credit insurance, tax breaks and more financial access, to help exporters. An executive meeting of the State Council, or Cabinet, also said the country would keep the yuan "basically stable" at a "reasonable and balanced" level to help exporters avoid exchange risks.     The meeting was presided over by Premier Wen Jiabao. This file photo shows the launch of the Jan Van Cent, a 12,000-tonnage multi-purposed oceangoing freight ship for an export order to the Netherlands, is held at the Yichang Shipyard, in Yichang, central China's Hubei Province, May 9, 2009    The government will provide 84 billion U.S. dollars worth of short-term export credit insurance to trading companies to help increase exports.     Preferential policies and tax breaks will mainly go to labor-intensive and high-tech industries to protect world market share.     Smaller companies would get more financing guarantees from financial institutions, as the government promised to allocate unspecified extra funding from the central budget.     Shrinking external demand that lead to export declines would remain "the biggest difficulty" facing the economy, participants to the meeting agreed.     They also called for coordinated efforts in expanding domestic demand and stabilizing exports, so as to reduce the impact of global financial crisis on China's foreign trade to the minimum.     China raised export rebates on some products after exports shrank on weakening overseas demand since the second half of 2008. For example, the government raised the tax rebate rate for textiles five times since August, most recently last month when the rate went from 15 percent to 16 percent. 

BEIJING, May 1 (Xinhua) -- Chinese top legislator Wu Bangguo started a timer Friday for the year-long countdown to the Shanghai World Expo at Tian'anmen Square in the heart of Beijing.     Wu, chairman of the National People's Congress Standing Committee, said at a ceremony that the government would spare no effort in preparation for the 2010 Shanghai World Expo, and the country looked forward to experiencing technological advances and sharing the achievements of human civilization with friends from across the world. Chinese top legislator Wu Bangguo (R) applauds after starting a year-long countdown timer installed at Tian'anmen Square in the heart of Beijing, capital of China, for the Shanghai World Expo to be held on May 1, 2010He said the World Expo had proved during its more than 150-yearhistory to play an important, unique role in promoting world economic and technological development.     The Expo could also help promote the development of civilizations and cultures, he said.     China's business hub, Shanghai, won a bid to host the 2010 World Expo in 2002. The Expo will be on stage from May 1 to Oct. 31 next year. Hong Kong and Hollywood film legend Jackie Chan, one of the promotion ambassadors for the Shanghai 2010 World Expo, performs during the ceremony to unveil the one-year countdown clock in Beijing's Tian'anmen Square, May 1, 2009.So far more than 230 countries, regions and international organizations have confirmed that they would participate in the Expo, which will use the theme of "Better City, Better Life".     The countdown timer was installed at the east side of the square, where a similar timer once counted down the days to the Beijing Olympic Games. After the Expo opens, the timer will display the daily number of visitors.     Wu said the Expo would help increase exchanges and cooperation between China and the rest of the world.  Photo taken on May 1, 2009 shows the year-long countdown timer installation ceremony at Tian'anmen Square in the heart of Beijing, capital of China, for the Shanghai World Expo to be held on May 1, 2010Based on the Expo's theme, the event would provide an opportunity for all participants to demonstrate methods of city planning and development and environmentally friendly lifestyles for sustainable development, he said.     The top legislator also said that a successful, splendid and memorable World Expo was a promise made by the Chinese government and people.     Shanghai's Communist Party chief, Yu Zhengsheng, who is also the vice-chairman of the Expo's organizing committee, said at the ceremony that the fair would be another international event in China after the Beijing Olympic Games, for which all preparations went smoothly.     The Expo would also be a safe and frugal event, Yu added.

TIANJIN, May 8 (Xinhua) -- Chinese Vice Premier Zhang Dejiang urged enterprises to contribute to industrial growth by bringing central government's guidance of boosting domestic demand into full play.     Zhang made the remark during his visit to 13 enterprises in the machinery, light industry, petrochemical, textile, auto and other sectors as well as ports, in Tianjin Municipality from May 7 to 8.     Zhang said positive signs had been seen in the country's industrial sector, but there were still challenges ahead.     He underscored firm implementation of the central government policy to ensure economic growth, boost domestic demand and enhance industrial upgrading.     He encouraged enterprises to seek to produce products that would meet market needs and expand both domestic and international markets.     Enterprises should improve their management and push forward innovation and structural adjustment, he said.

BEIJING, June 14 (Xinhua) -- Chinese Premier Wen Jiabao stressed the importance of promoting domestic consumption and independent research and development during a three-day inspection tour of the central Hunan Province, which ended Sunday.     Wen said the key to a sound economic future lay in continuing to "unswervingly" implement the government's policies to deal with the international economic downturn.     Companies should increase investment in research and development and better utilize science and technologies to "foster new economic growth points," he said.     Local governments, meanwhile, should develop energy-efficient and environment-friendly industries and put priority on a recycling and green economy, he said. Chinese Premier Wen Jiabao (C), also a member of the Standing Committee of the Political Bureau of the Communist Party of China (CPC) Central Committee, talks with employees of Geely Automobile Parts Co.,Ltd in central China's Hunan Province, on June 13, 2009. Premier Wen made an inspection tour in Hunan Province from June 12 to June 14.During his trip in Hunan, Wen visited companies, Hunan University, job markets and farmlands.     He said the enhanced economic power of central and western regions, whose economies profited from central government support policies, added vigor to the country's economic development and should continue to be supported.     The central region, a link between the east and the west, should speed up industrial restructuring with a focus on local characteristics and advantages while tapping emerging industries, such as IT and bioengineering, said Wen.     He also called for more attention to education and talent in China's future reform and opening, and the building of a social welfare system that values the improvement of living standards.     Visiting farms, Wen said wheat production this summer was sure to grow over last year and that the country should focus on a more balanced economic development between urban and rural areas.     "Stable agricultural output makes a stable economy and stable lives for the people," Wen said.