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BEIJING, April 8 (Xinhua) -- China and Venezuela agreed here Wednesday to step up cooperation in fields such as energy, agriculture, and high technology and take joint actions in the face of the global financial crisis. The agreement was reached in a meeting between Chinese President Hu Jintao and his visiting Venezuelan counterpart Hugo Chavez. The Chinese Foreign Ministry said the two exchanged in-depth views on bilateral relations and other issues of common concern and reached an important consensus. Hu highlighted the robust growth of bilateral relations during the meeting, saying that China was satisfied with the positive outcomes from bilateral economic and technological cooperation, progress made on some key projects and close coordination on international and regional issues. Chinese President Hu Jintao (R) meets with Venezuelan President Hugo Chavez at the Great Hall of the People in Beijing, capital of China, on April 8, 2009 Hu also suggested the two nations should work closer and boost the various pragmatic cooperation, which would not only help resolve the impact from the international financial crisis, but also be conducive to laying a solid foundation for the long-term development of Sino-Venezuelan relations. China highly values its ties with Venezuela and will join hands with the Venezuelan side to make efforts to push forward the bilateral strategic partnership to a higher level, Hu said. Echoing Hu's views on bilateral relations, Chavez also applauded the progress made on bilateral cooperation in energy, agriculture, industry and technology. He especially mentioned the successful launch and delivery of Venezuela's first telecommunication satellite thanks to cooperation with China. Chavez noted that the world order is undergoing a profound change and China already played a significant and positive role in an effort to address the challenges posed by the international economic turmoil. Venezuela is willing to cement its cooperation with China in such a new international context, the Venezuelan president added. As Hu's guest, Chavez arrived in Beijing on Tuesday night for a three-day working visit. He will also meet Chinese Vice President Xi Jinping during the visit, which is his sixth to China.
NANJING, Feb. 3 (Xinhua) -- China's Vice Premier Wang Qishan said on Monday that the country should take advantage of the rare opportunity to expand the outsourcing industry. The State Council has identified 20 pilot cities to take part in a program that offers perks to businesses that opt to participate in outsourcing. The program will help ensure economic growth, industry restructuring and the job promotion -- notably for the college graduates, according to Wang in an industry meeting held on Monday in the east city of Nanjing. The government would offer more support in tax breaks, financing, and vocational training, Wang said. The Vice Premier noted it was important to nurture China's outsourcing industry, and local governments should create sound legal conditions to pave the way for the industry expansion. Twenty cities, including Beijing, Shanghai, Xi'an, Suzhou and Hangzhou, have been designated for pilot service outsourcing programs. Beginning Jan. 1, these companies are eligible for tax breaks, financial support, subsidies and intellectual property rights protection, the Ministry of Commerce (MOC) said on Monday. More multinational companies and financial institutions, hard hit by the global financial crisis outsource their business to less costly regions. This creates an opportunity for Chinese outsourcing companies, said vice minister of MOC Ma Xiuhong. McKinsey, the New York based consultancy, said in a report last month that China posted rapid growth in the business but was lagged behind India, whose market value was nine times that of China. The report said that despite the challenges, China still had potential to become the main outsourcing destination in the future.
PATTAYA, Thailand, April 11 (Xinhua) -- Chinese Premier Wen Jiabao, in an interview with Hong Kong and Macao reporters here Saturday, said that the Chinese economy showed signs of better than expected positive changes in the first quarter as a result of the economic stimulus package adopted by China. Firstly, the domestic demand rose on a sustainable basis. Meanwhile, investment in fixed assets increased rapidly and consumer demand grew steadily and relatively rapidly. Although lower from the same period of last year, imports and exports grew on a month-on-month basis in the three-month period, Wen said. This indicates that some sectors and enterprises in China are in a process of gradual recovery. Secondly, industries above the designated size registered month-on-month growth, with a year-on-year increase of 3.8 percent in both January and February, and a year-on-year increase of 8.3 percent in March. Thirdly, the purchase management index and the entrepreneur confidence index of the manufacturing industry both rose, indicating that the Chinese economy has begun to stabilize and recover in some fields, according to Wen. And fourthly, the market confidence went up and the economy became more active over the first three months, with increases in both the stock market and housing market transaction volumes. The positive performances in economic fields suggest that the policies adopted by the central government of China have been timely and correct, and have led to successes, the premier noted. The premier was here to attend the Association of Southeast Asian Nations (ASEAN) related summits. The Chinese premier went back home late Saturday ahead of schedule, after the Thai government postponed the summits because of domestic political unrest. The premier said we should see that China's economy is still facing very serious hardships, which can be attributed to the shrink of external demand and a relatively sharp fall in exports. This has negatively impacted export enterprises, export-oriented industries and export-oriented zones, and has resulted in decreases in business profit making, declines in financial revenues and heavier pressure on employment, he said. As the international financial crisis is deepening and spreading, we should never lose vigilance, Wen warned. As the crisis has not touched its bottom, we can hardly say that the Chinese economy alone has got out of the crisis. China cannot save the world, nor can it survive without the world, Wen said. What we should do is to exert our utmost efforts to minimize the effect of the crisis, he said. When answering questions whether China will introduce additional economic stimulus plans, Wen said the government should now step up efforts to carry out the policies and measures of the existing stimulus package. The earlier they are put into effect, the more beneficial and active they will be, he said. Firstly, it is imperative to release the additional investment for stimulating the economy that has been included into the budget. Secondly, specific rules for reforming and reviving a total of ten key industries should be formulated as early as possible. And thirdly, efforts should be made to speed up the development of the social security system, Wen said, adding that the national medical and health-care system reform launched in recent days, which has drawn international attention, should be implemented as early as possible. At the same time, it is essential to closely follow up the changing economic situation at home and abroad, and hammer out new response plans whenever necessary, said Wen. Priority should be given to strengthening social security, improving the people's livelihood and strengthening protection of the ecological environment, he said. In response to questions about the trial of cross-border trade deals in the Chinese yuan, Wen said the central government has decided to test the program in the city of Shanghai, as well as four cities in south China's Guangdong province -- Guangzhou, Shenzhen, Dongguan and Zhuhai. Hong Kong and Macao will be included in the pilot program, and ASEAN members will become the first group of foreign countries to benefit from the scheme, Wen said, adding the regulatory documents governing the pilot program will be issued in a short time, Wen said. The program will promote Hong Kong's trade development, and will help its enterprises, including those in the Pearl River Delta region and other areas in the Chinese mainland, to stave off the risks from exchange rate fluctuations, he said. This will invigorate Hong Kong's financial industry and underpin its position as an international financial hub, he added. Wen said that compared with developed countries, China, as a developing country, has undergone only a short period of time in its financial reform and development, lacking both experience and talented people, and there is also room for improvement in its financial system. At present, China allows the yuan to become convertible under the current account and it will take a long time to realize full capital account convertibility for the Chinese yuan, he said. Answering a reporter's question on whether building Shanghai into an international financial hub will rival Hong Kong's financial status, Wen said the Chinese central government has always paid close attention to the development of Hong Kong's financial sector. "I noticed that most of the media in Hong Kong showed support for the decision to build Shanghai into an international financial center, but lingering worries still remain," he said. Actually, the status of an international financial center is established not by a government decision but through market competition, he said. "I have said years ago that Hong Kong's status as an international financial center is irreplaceable due to its unique geographical advantage, a long history of financial management, extensive channels of financial operation, a full-fledged legal system and a rich pool of financial expertise," Wen said. However, Hong Kong's status as an international financial hub also meets challenges, he said. He added that what is imperative for the time being is to enhance regulation, maintain the stable, healthy and sustainable development of its financial sector, and to make due support for its economy. While developing the financial sector, Hong Kong should also spare no effort to tap the potential of its economic growth such as logistics, tourism, the health sector, science and technology, education, and high-tech industries, so as to lay a foundation forthe sustained economic development, he said. Responding to a question about the recent police investigation into Hong Kong-listed conglomerate CITIC Pacific, Wen said the issue should be addressed in accordance with the laws and financial supervision regulations of the Hong Kong Special Administrative Region, and no interference from the mainland or other parties will be allowed. Earlier this month, Hong Kong police searched the headquarters of the company, which reported huge losses from unauthorized hedging against changes in the exchange rates of Australian dollar last year. After all the facts are clarified, serious lessons should be drawn from this incident, including the company's management and its supervision, Wen said. On Macao's economic growth, Premier Wen said it has a unique economy powered mainly by its gambling industry. As the region continues to develop its gambling industry, efforts should be made to promote the region's economic diversity based on its own reality, he said. Macao's development is somewhat restrained due to its tiny area, but the central government is currently working on a long-term development plan of the Pearl River Delta to strengthen economic ties between Guangdong Province and Macao in an effort to promote Macao's development, said the premier. Because of Thailand's domestic situation, the Thai government on Saturday postponed the ASEAN related summits scheduled for April 11 and April 12. Wen said his visit to Thailand was designed to enhance the friendly cooperative relations between China and ASEAN and to make joint efforts with its members to tackle the global financial crisis. The Chinese premier said he had been aware of the situation in Thailand before his departure for the country, and his insistence on attending the summits indicated China's sincerity in this matter.
BEIJING, March 8 (Xinhua) -- The Chinese government has announced a massive plan to rebuild and renovate dilapidated houses in rural areas, aiming to improve people's life, create jobs and boost domestic demand amid the global financial meltdown. Qi Ji, vice minister of Housing and Urban-Rural Development, said on the sidelines of the ongoing annual parliament session that the country will rebuild and renovate 800,000 rural houses this year, which was expected to create 1.5 million jobs. It was not available at the moment how much the government plans to spend in this program, which was announced at a time when the country's real economy is severely hurt by the financial crisis, resulting in export decline, factories shutdown and job losses. Premier Wen Jiabao told the annual session of the National People's Congress (NPC) Thursday that the country will this year "expand the pilot program for renovating dilapidated houses in rural areas." The pilot program started last year in the southwestern poverty-stricken Guizhou Province. A villager named Liu Yonggao inZunyi County, Guizhou, told Xinhua that he got a 10,000 yuan (1,460 U.S. dollars) subsidy from the government and the reconstruction cost him 80,000 yuan. "I also spend 20,000 yuan to buy home appliances including a color TV and a hi-fi system," he said. Officials from the government of Zunyi City that administers the Zunyi County said every one yuan that the government subsidizes for the rural housing program would drive a 10 yuan investment from farmers. It also brought about plenty of jobs. In Tongzhi County alone, more than 6,000 people, including 1,000 farmers who returned home after losing jobs in the cities, were working to rebuild or renovate rural houses. More than 20,000 houses in Guizhou collapsed amid a rare snow and sleet disaster at the beginning of last year and 138,000 others were damaged. The pilot program started after the government earmarked 260 million yuan and as of the end of the year more than 20,000 rural families have move to their new homes. Another 34,000-strong families in Guizhou are expected to benefit from the program this year. "Farmers became enthusiastic to rebuilding or renovating their homes after knowing that they would receive money from the government," said Liao Guoxun, a Guizhou-based NPC deputy. Guizhou Provincial Governor Lin Shusen, also an NPC deputy, said the central and provincial governments would set aside 10 billion yuan for the program this year. Meanwhile, east China's Shandong Province last month kicked off a program to renovate 800,000 dilapidated houses in the coming five years. It also plans to build 750,000-1,000,000 new houses annually in the countryside in the coming three years. Shandong Provincial Governor Jiang Daming said 270,000 new houses had been built annually over the past few years, with an average investment of 100,000 yuan for each house built or newly decorated. Three million new houses would then mean an investment of 300 billion yuan, which would at least create 800,000 jobs, Jiang said. China's consumer spending against economy size has been declining over the past ten years, experts said. Premier Wen Jiabao said China is facing "unprecedented difficulties and challenges" as economic growth slows, employment pressure mounts and social uncertainties increase in 2009, the most difficult year since the new millennium. China's economy cooled to a seven-year low of 9 percent last year, and broke a five-year streak of double-digit expansion, as the global financial crisis took its toll on the world's fastest growing economy. In addition to a 4-trillion yuan stimulus package that was announced in November, the premier also proposed a budgeted fiscal deficit of 950 billion yuan for 2009, a record high in six decades and nearly three times over the last record of 319.8 billion yuan set in 2003. Among the 4-trillion yuan stimulus package, 370 billion yuan will be used to improve people's life in rural areas. When delivering a government work report at the NPC session, Wen said China must boost domestic demand to sustain economic growth. "We need to...make boosting domestic demand a long-term strategic principle and a starting point in stimulating economic growth."
NEW YORK, March 1 (Xinhua) -- Leaders of some Chinese-American communities and a Chinese-language newspaper on Sunday lauded Premier Wen Jiabao's online chat with netizens in Beijing a day earlier. Wen's online chat with netizens shows that the top leadership of the Communist Party of China (CPC) is paying ever closer attention to public opinion, said Steven Wong, acting chairman of the United Federation of Chinese Associations. Chinese Premier Wen Jiabao holds an online chat with netizens jointly hosted by the central government website and Xinhua website in Beijing, China, Feb. 28, 2009. Premier Wen rushed to the affected areas immediately after the snow disaster in China's south and the devastating earthquake in the southwest last year to comfort survivors, winning him widespread respect, Wong said. On the eve of the opening of the annual sessions of the National People's Congress and the Chinese People's Political Consultative Conference, Wen held direct dialogue with netizens to solicit opinions and suggestions from the public, which is not only a boost to public morale, but is also conducive to solving problems in society at large, he said. Liu Jianmin, chairman of the Greater Los Angeles Area Federation of Promoting China's Unification, said Wen's online chat with Chinese netizens is all the more meaningful as it was held on the eve of the annual meetings of the national legislature and the top advisory body. Through direct dialogue with vast numbers of netizens, the Chinese leaders could have a deeper understanding of what the ordinary people have in their minds. Chinese Premier Wen Jiabao(L) holds an online chat with netizens jointly hosted by the central government website and the Xinhua News Agency website in Beijing, China, Feb. 28, 2009The World Journal, the widest-circulation Chinese-language newspaper in North America, carried the online chat as the headline news on its Chinese Mainland edition. The report drew attention to the remarks of Premier Wen who emphasized the importance of confidence to fighting the spreading global financial crisis, pledged continued efforts to improve health care and stressed that training and preferential tax measures were needed to encourage rural migrant workers to start their own businesses.