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BEIJING, Jan. 5 (Xinhua) -- Chinese exporters face an increased risk of not being paid for their goods as foreign banks run out of cash and some overseas importers evade paying debts, China's Ministry of Commerce (MOC) warned Monday. "The cases of malicious debt evasion and breach of contracts by importers in certain countries or regions are on the rise," said the ministry in a notice. It attributed the phenomenon to the impact of the deepening global financial crisis. The MOC urged local governments, guilds and overseas Chinese businesses to more closely monitor the credit of foreign importers. Priority should be placed on tracking the credit ratings of foreign lenders, it said. The ministry also called on local governments to support the development of export credit insurance and encourage exporters to carry such insurance by reducing premiums. From January to November last year, China Export & Credit Insurance Corporation (SINOSURE) provided 56.5 billion U.S. dollars of guarantee for exporters against credit risks such as payment default. That is 63.6 percent higher than the same period a year earlier. The reason for the increase is that more exporters sought insurance, company figures show. SINOSURE is China's only policy insurance company undertaking export credit insurance. In that period, SINOSURE paid 210 million U.S. dollars of indemnities, up 174.5 percent from the same period of 2007. In December, the insurer reduced credit ratings for a record 48countries, including the United States. A total of 191 countries were reappraised in December.
BEIJING, Dec. 27 (Xinhua) -- The Standing Committee of the National People's Congress (NPC), China's top legislature, concluded its week-long meeting on Saturday, with approval of the amendments of the Earthquake Prevention Law and the Patent Law. President Hu Jintao has signed on the two amendments for them to take effect. The session was presided by Wu Bangguo, chairman of the NPC Standing Committee and member of the Standing Committee of the Communist Party of China (CPC) Central Committee Political Bureau. A resolution was adopted at the meeting, deciding that the Second Session of the Eleventh NPC will be inaugurated in Beijing on March 5, 2009. Wu Bangguo, chairman of China National People's Congress (NPC) Standing Committee and member of the Standing Committee of the Communist Party of China (CPC) Central Committee Political Bureau, attends the sixth session of the 11th NPC Standing Committee at the Great Hall of the People in Beijing, China, on Dec. 27, 2008. The top legislature also approved a multilateral treaty signed by the Shanghai Cooperation Organization (SCO) member states on joint military drills and a bilateral treaty of judicial cooperation on criminal cases with the United Arab Emirates (UAE). Wu made a speech after the completion of all the procedural issues, saying that NPC deputies and members of the NPC Standing Committee and its special committee have paid great attention to the country's economic situation since September. As a result, the session held an additional hearing on a State Council report on taking pro-active measures to deal with the global financial crisis and ensure a stable and relatively fast economic growth, according to the top legislator. He spoke highly of the Party Central Committee's timely decisions to readjust the country's macro-economic control policy, by changing the primary job to maintaining a stable and relatively fast economic growth and bringing the economic growth under control to prevent an excessive inflation, from the prevention of excessive economic growth and a remarked inflation, a goal set at the beginning of this year. The top lawmaker hailed the country's success in 2008 in fighting natural disasters, hosting the Beijing Olympic Games and Paralympics, projecting the Shenzhou-7 manned spacecraft, achieving its economic, environmental and agricultural goals, and having people's life further improved and keeping the general situation stable. He praised the State Council and local governments for their efforts to achieve these goals. In his speech, the top legislator analyzed the international and domestic situation, and he warned that while carrying out a pro-active financial policy, substantial efforts must be made to prevent low-level and overlapped construction and a new round of urban expansion.
ALGIERS, Nov. 5 (Xinhua) -- China and Algeria voiced commitment here Wednesday to step up bilateral strategic and cooperative relations and called for intensified cooperation in fields such as infrastructure, energy and resource exploration. In his meeting with Algerian Prime Minister Ahmed Ouyahia, visiting Chinese top legislator Wu Bangguo called Algeria as "an important cooperation partner," noting that China highly values its strategic and cooperative relations with Algeria. China and Algeria are both developing countries and share common aspiration to develop their economies to improve the welfare of their peoples, said Wu, Chairman of the Standing Committee of China's National People's Congress (NPC). He noted that China will join hands with the Algerian side to cement the bilateral cooperation in long-term and strategic perspectives. He proposed the two nations should work closer in fields such as infrastructure construction, energy, resource exploration and establish an economic and trade cooperation zone. "We should encourage our enterprises to work together on some big and important projects to improve the quality and level of the China-Algeria cooperation," Wu added. "The Chinese government will encourage Chinese enterprises to establish business and invest in Algeria, adopt open policy on technology transfer to Algeria and launch various training programs for Algerian personnel in an effort to contribute to Algeria's economic structure adjustment and employment enlargement," the Chinese top legislator said. Agreeing with Wu's proposal, Ouyahia said that the Algerian government has a sincere will to learn from China and boost bilateral cooperation and mutual investment to help the country's economic transformation and realize sustainable development. Wu Bangguo (L), chairman of the Standing Committee of China's National People's Congress, meets with Algerian Prime Minister Ahmed Ouyahia in Algiers, capital of Algeria, on Nov. 5, 2008The Algerian government would create bigger space and better conditions for Chinese companies to start their business in Algeria, the prime minister promised. Wu also met with Abdelkader Bensalah, President of Algerian Council of the Nation, on Wednesday. Wu said his visit has realized the purpose of promoting the inter-parliamentary cooperation with Algerian parliament and boosting the bilateral strategic and cooperative relations. "We have become brothers on political issues, good partners in trade, and good friends with close coordination on world affairs," Wu recognized. He also reaffirmed the NPC's willingness to share its experience with the Algerian Council of the Nation on issues concerning legislation and national development in an aim to boost substantial cooperation and promote friendship between the two peoples. Wu Bangguo (L Front), chairman of the Standing Committee of China's National People's Congress, meets with the President of Algerian Council of the Nation Abdelkader Bensalah (R Front) in Algiers, capital of Algeria, on Nov. 5, 2008Bensalah highlighted that the achievement China scored in its national economic and social development is a living proof to the world of the success of the country's opening-up policy. The Algerian Council of the Nation hopes to step up its friendly exchange and cooperation with the NPC, Bensalah said. Algeria is the first leg of Wu's five-nation Africa tour which will also take him to Gabon, Ethiopia, Madagascar and Seychelles.
BEIJING, Nov. 2 (Xinhua) -- China's gross domestic product (GDP) growth is expected to slow to 9.4 percent in 2008 from last year's 11.4 percent as the shrinking exports will cool the world's fourth largest economy, according to a Chinese credit rating agency report on Sunday. The fundamentals of the economy are sound, but falling export orders would take a toll on the national economy in the short term, and domestic consumption needed time to play a bigger role, said the report released by the China Chengxin International Credit Rating Co. (CCXI), a joint venture of China's first rating agency China Chengxin Credit Management Co. Ltd. and U.S.-based Moody's Corporation. The changing external economic environment and the burst of domestic asset bubbles would exacerbate the slowing economy, said the report. The proactive fiscal policy was key to preventing the economy from falling and there was room for further cuts in bank reserve requirement ratios and interest rates. It predicted the economy would gain 8.6 percent in 2009, but it gave no explanation of its forecast. China's economy grew at 9 percent in the third quarter, the slowest in five years, as the global financial crisis sapped demand for Chinese goods, and domestic industrial production waned in response to weak demand and rising raw material costs. The government has lowered interest rates three times in the last two months, increased export rebates and cut property transaction taxes to boost domestic consumption. The report said the world financial crisis would have limited direct impact on the domestic banking system, but it warned Chinese exporters of default risks of foreign buyers. Insurers and securities companies would be affected as the domestic capital market was growing more connected to the international market. In September, the Manila-based Asian Development Bank, projected China's GDP growth to fall to 10 percent this year and further ease to 9.5 percent in 2009. The slow-down was a result of the combined effects of a reduced trade surplus, slower growth in investment, and the global economic downturn, the Asian Development Outlook 2008 Update has said.
SHANGHAI, Dec. 21 (Xinhua) -- A senior Chinese leader has urged Shanghai, the country's major economic hub, to use the global financial crisis as a driving force to pursue economic restructuring. Jia Qinglin (C), chairman of the National Committee of the Chinese People's Political Consultative Conference and member of the Standing Committee of the Communist Party of China (CPC) Central Committee Political Bureau, visits Shanghai Electric Nuclear Power Equipment Co. Ltd., in Shanghai, east China, on Dec. 20, 2008. Jia Qinglin paid a visit to Shanghai from Dec. 19 to Dec. 21. Shanghai should focus on developing equipment manufacturing, modern logistics, financial services, electronic commerce, culture innovations and capsulation, said Jia Qinglin, chairman of the National Committee of the Chinese People's Political Consultative Conference (CPPCC), during his trip to Shanghai from Dec. 19-21 . Shanghai should try to establish a new advantage in competition and make use of its advantage of having a strong power in science and technology, said Jia. The city should center its economic growth on increasing domestic demands while trying every means to maintain a stable growth in export, the CPPCC leader said. During his stay in the city, Jia visited an exhibition on the 2010 Shanghai World Expo and studied the construction of the expo zone, with company of Shanghai Party Chief Yu Zhengsheng and Shanghai Mayor Han Zheng. He urged the city to do a good job in preparations for the world expo. Jia Qinglin (R), chairman of the National Committee of the Chinese People's Political Consultative Conference and member of the Standing Committee of the Communist Party of China (CPC) Central Committee Political Bureau, talks to an employee at SAIC Motor Passenger Vehicle Company on in Shanghai, China, on Dec. 20, 2008. Jia Qinglin paid a visit to Shanghai from Dec. 19 to Dec. 21. He also visited several industrial development zones and research institutions, to see how local companies are operating with the impacts of the global financial crisis. In talks with local officials, Jia attached priority to finding out ways to help the country's economy develop in a stable and relatively fast way, under the current complicated international and domestic situation. "We must unify our thinking and action to the analysis and judgment of the Central Authorities as well as the arrangements made by the Central Authorities," said Jia, who is also a member of the Standing Committee of the Communist Party of China (CPC) Central Committee Political Bureau. Jia talked with company employees and ordinary citizens, inquiring into their life and listening to their complaints and demands. He called for a pro-active employment policy. During his visit, the top political advisor visited leading officials of the Municipal Committee of the CPPCC, the Municipal United Front Department, and local branches of non-communist parties and the Municipal Federation of Industry and Commerce. He urged them to play roles as "think tank" for the government and a channel to convey people's concern to the government.