Archive for September, 2008

30
Sep
08

2 – Scam woman chokes on fake notes

? ?

CHINA / Odd News

Scam woman chokes on fake notes

(China Daily)
Updated: 2007-09-12 10:08

A middle-aged woman surnamed Chen almost died after swallowing seven fake
banknotes in Enping of Guangdong Province over the weekend.

Law enforcement personnel were investigating Chen for using fake
banknotes at a local agricultural bazaar, when she swallowed the bogus
money, which stuck in her throat.

Chen was immediately sent to a nearby hospital where doctors said she
would have died if she could not receive treatment on time.

(Yangcheng Evening News )

Top China News ?

* China is ‘helping resolve’ Darfur issue
* Polluters will pay for their behavior
* Problem drugs to be recalled faster
* Serious smuggling cases rise sharply
* Producers vow to ensure food safety ahead of Olympics

Today’s Top News ?

* Trade barriers used as excuse for protectionism
* Consumer inflation hits 11-year high
* Nation’s rich have poor reputation
* AP Poll: Most see Iraq war as failure
* Al-Qaida: 2nd bin Laden video coming

Most Commented/Read Stories in 48 Hours

……….

29
Sep
08

Russia – Hu: Arduous task lies ahead to denuclearize Korean Peninsula

? ?

CHINA / National

Hu: Arduous task lies ahead to denuclearize Korean Peninsula

(Xinhua)
Updated: 2007-09-07 16:16

SYDNEY — Chinese President Hu Jintao said here Friday that all relevant
parties should continue to work for the ?achievement of the goal of
denuclearization on the Korean peninsula.

Arduous task lies ahead in the efforts to seek a final resolution to the
issue, Hu said when he met South Korean President Roh Moo-hyun.

He said that thanks to the concerted efforts of all sides, the six-party
talks aimed at denuclearizing the Korean Peninsula have made progress
with consensus reached through dialogues, laying a solid foundation for
work in the next phase.

The six-party talks which involve China, the Democratic People’s Republic
of Korea, the United States, South Korea, Russia and Japan, have
undergone six rounds in Beijing, with various working groups set up to
deal with concrete matters.

China is willing to work with other parties, including South Korea, to
help implement the agreements already inked in a comprehensive and
balanced manner and steadily push forward the six-party talks, Hu said.

China will “strive for the realization of denuclearization on the
peninsula at an early date to maintain peace and stability on the
peninsula and in northeast Asia,” he said.

Roh said that facts have proven that dialogue is the ideal way for
tackling the nuclear issue on the peninsula.

He commended the role played by China in the process, saying that the
good coordination and cooperation between South Korea and China, which
hosts the six-party talks, on peninsula-related affairs were important
and he hoped both sides will maintain such close communication.

The two presidents also spoke highly of the development of bilateral ties.

This year marks the 15th anniversary of the establishment of diplomatic
ties between China and South Korea. A series of activities have been held
to mark the occasion.

“China-South Korea ties have scored new progress,” Hu said, citing
frequent exchanges of high-level visits, new breakthroughs in two-way
trade and the colorful events of the China-South Korea Exchange Year.

Both countries also maintain close communication and coordination on
regional and international affairs, he added.

Both China and South Korea are important countries in northeast Asia, he
said, adding that the consolidation and development of bilateral ties
serve the fundamental interests of the two peoples and are conducive to
peace and development in the region.

China will make unremitting efforts to deepen the partnership of
?all-around cooperation between the two countries, he said.

Roh also praised the achievement in bilateral trade and investment and
highly appreciated the importance attached to the development of
bilateral ties by the Chinese government .

After the meeting, Hu and Roh witnessed the signing of an agreement on
the promotion and protection of investment in each other’s country.

Both presidents are here to attend the economic leaders’ meeting of the
21-member APEC forum, due to be held on September 8-9 in this scenic
coastal city of Australia.

Top China News ?

* Hu: Arduous task lies ahead to denuclearize Korean Peninsula
* 172 trapped miners ’will not return alive’
* Chinese premier meets Davos forum chairman
* It’s time to ‘get tough on Taiwan’
* Number of death penalty drops on review right retrieval

Today’s Top News ?

* Hu tells Bush: It’s time to ‘get tough on Taiwan’
* Wen outlines economic strategies
* Bin Laden plans video on 9/11 – group
* Chinese men win gymnastics title
* APEC outlines trade, security policies

Most Commented/Read Stories in 48 Hours

To be continued

28
Sep
08

9 – Dalian?ready to open its doors

? ?

CHINA / Davos at Dalian

Dalian?ready to open its doors

(China Daily)
Updated: 2007-09-06 06:34

Dalian, a coastal city in Northeast China’s Liaoning Province, is poised
for a place on the world business map today when it hosts the Inaugural
Annual Meeting of the New Champions, or the Summer Davos. Xia Deren,
mayor of Dalian, speaks with China Daily reporter Wang Xu about Dalian’s
preparation for Summer Davos.

Q: What’s the difference between Summer Davos and the winter version?

A: The World Economic Forum held in Davos, Switzerland, draws leaders
from business, government and international institutions each year to
exchange opinions and ideas. The themes of the event are usually the
hottest economic and political topics of the year.

Now the world economy has entered a phase of development, as more and
more new companies are emerging and reshaping the landscape of the
business world. The Summer Davos is expected to provide an opportunity
for these new champions to exchange opinions on the latest world issues,
such as energy, education, the environment and technology.

Q: What’s been the response of local companies to Summer Davos?

A: Local companies have been quite interested in attending the event. As
we have mentioned, a great deal of multinational companies will gather in
Dalian at that time, and the meeting is a great platform for business
cooperation.

There will be more than 60 sessions during Summer Davos. Some of the
topics such as corporate governance and management could offer great
insights for improving companies’ competitiveness. A number of Chinese
Fortune 500 companies, such as Sinopec, CNOOC and China Mobile, will be
coming to the event.

Q: How will Dalian present itself to the world during Summer Davos?

A: There will be more than 8,000 guests in Dalian for Summer Davos. I’m
sure they will be impressed by the city’s beauty. At the same time, more
than 1,000 domestic and foreign reporters will also come to report the
event, which will help audiences around the world learn more about the
city.

Meanwhile, we will organize a series of meetings and forums to promote
face-to-face exchanges between local and multinational companies, to
introduce them to Dalian’s outstanding investment environment.

(China Daily 09/06/2007 page1)

Top China News ?

* EU to enhance competition policy co-op with China
* China to issue 28b yuan T-bonds
* Wen to attend 2007 ‘Summer Davos’
* College students more tolerant of cohabitation, few try
* Checking ‘independence’ in common interests of China, US

Today’s Top News ?

* President Hu warns against secessionist activities
* Bishop ordination to be speeded up
* Stage set for international harmony
* Germans arrest 3 in alleged terror plot
* ‘No threat of big rise’ in inflation – official

Most Commented/Read Stories in 48 Hours

To be continued

27
Sep
08

Japan – China adopts emergency response law

? ?

CHINA / National

China adopts emergency response law

(Xinhua)
Updated: 2007-08-30 16:22

China’s top legislature on Thursday adopted the emergency response law
aiming at improving the country’s ability to handle frequent industrial
accidents, natural disasters, health and public security hazards.

With seven chapters and 70 clauses, the law will be effective as of
November 1, 2007.

Four colors of emergency declaration (blue, yellow, orange and red) shall
be used to indicate the hazard level, with “red” signaling the most
serious, or the first-class, situation.

The new law will help effectively minimize losses and prevent minor
mishaps from turning into major public crisis, lawmakers said.

Related readings:
?China kicks off new round of bimonthly top legislature
?Former Shanghai party chief expelled from top legislature
?NPC to discuss law on circular economy

The law bans the fabrication and spread of false information on accidents
and disasters and requires government to provide accurate and timely
information.

“People’s governments in charge of coping with an emergency should
provide unified, accurate and timely information on the emergency and its
development,” it says.

The law also states that “units and individuals are prohibited from
fabricating or spreading false information regarding emergencies and
government efforts to cope with emergencies.”

Offenders will be warned, it says. Media organizations or web companies
may face revoke of business licenses if their offences lead to serious
consequences.

Government officials shall be given administrative punishment if they are
engaged in this malpractices, says the law.

Behavior that contravenes public security management rules or criminal
statutes will lead to prosecution,? it says.

To curb the rising number of explosions, the law provides that “Coal
mines, construction sites, and work units who produce, deal with,
transport, stockpile and use explosives, combustible and hazardous
chemicals and radioactive material production should establish detailed
emergency plans and launch inspections at sites where hazardous materials
are produced and stored, so as to eliminate possible risks and avoid
emergencies.”

The law requires “harsh punishments for looting of properties during
emergencies and for disrupting emergency response work.”

The law says when extremely serious emergencies occur, which severely
threaten people’s life and property, state security, public security,
environmental security or public order, over which the provisions in
emergency response law could not control, the NPC Standing Committee or
the State Council may declare “the state of emergency” in accordance with
the Constitution and the law.

?The first version of the draft law submitted in June 2006 included the
provision that “news media that irregularly report the development and
handling of emergencies without authorization, or release fraudulent
reports will be fined from 50,000 yuan (US$6,250) to 100,000 yuan, if the
reports lead to serious consequences”.

The provision was cut from the law when it was submitted to the NPC
Standing Committee for the second reading in June this year after heated
debate among lawmakers and the public, many of whom argued it could be
misused by government bodies to stall the release of emergency
information.

Frequent natural disasters and industrial accidents have caused huge
losses of life and property in China.

Police records show 5.61 million sudden natural and industrial
emergencies were reported in 2004, leaving 210,000 people dead and 1.75
million injured. Direct economic losses topped 450 billion yuan (US$56.3
billion).

Many officials have resigned or been dismissed for their inability to
control emergency situations, including former Health Minister Zhang
Wenkang, sacked for the SARS cover-up in 2003, and former Environment
Minister Xie Zhenhua, who quit in 2005 for mishandling of the Songhua
River pollution incident.

Top China News ?

* China appoints new ministers
* China adopts emergency response law
* Rights of suspects ‘highly respected’
* Inflation to surpass 3% for full year
* Finance Minister removed from post

Today’s Top News ?

* Anti-monopoly law passed, effective next August
* China appoints new ministers
* Nations to enhance military exchanges
* Autumn harvest under severe threat
* China appoints new ministers

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……….

26
Sep
08

With my friends – Legislation urged on police investigations

? ?

CHINA / National

Legislation urged on police investigations

By Xie Chuanjiao (China Daily)
Updated: 2007-08-24 07:21

A senior prosecutor has proposed tougher legislation against the use of
surveillance and “special investigation techniques” to better protect
human rights.

Zhu Xiaoqing, deputy procurator-general of the Supreme People’s
Procuratorate, raised the proposals this week during a seminar sponsored
by the Ministry of Public Security and Chinese People’s Public Security
University.

With the Standing Committee of National People’s Congress, the top
legislature, set to finalize the 7th amendment to the Criminal Procedure
Law in October, the seminar discussed ways to improve the investigation
process.

“The law needs to clarify the conditions, scope, procedures and judicial
aftermath of the application of such detection methods,” Zhu said.

Surveillance and investigation methods include phone-bugging, secret
photography, videotaping, tracking, and mail and personal data inspection.

“We also have to strengthen protection for witnesses so they can present
their testimony without fear,” Zhu said.

Chen Weidong, a professor at the Law Institute of Renmin University of
China, said though the current Security Law and Procuratorators Law have
some provisions covering the application of technical and special
investigation, they are not enough to protect basic human rights.

Chen proposed that “secret investigations” should only be used under
specific circumstances, such as to safeguard national security or in
anti-terror and drug-related cases.

“A strict judicial review system is needed to keep such investigations in
check,” Chen said.

“Only after getting authorization from a higher authority should
investigators use such methods.”

Zhu also proposed improving interrogation procedures to prevent forced
confessions.

“Evidence collected illegally from forced confessions, torture, inducing
and cheating must be stamped out,” Zhu said.

“An effective mechanism against extracting confession by torture should
be established.”

Zhu proposed that interrogation of suspects be fully videotaped in such
cases as homicide, graft, and other serious crimes.

Zhu also said procuratorate departments should improve internal
supervision, making them more open and accountable.

Zhang Jun, vice-president of the Supreme People’s Court, said suspects’
lawyers should be allowed to be present during questioning.

“Having lawyers present during questioning is key to eliminating
confessions by torture, so that the rights of suspects are protected,” he
said.

Although it is against the law, some cases of torture during
interrogation have been widely reported by the media.

Top China News ?

* Merkel has climate change on agenda
* Chinese students talk with ISS astronaunt
* Product standards will be improved
* China to enact law on labor disputes arbitration
* China to enact law on circular economy

Today’s Top News ?

* Two miners crawl out after being trapped 130 hours
* Water polluters face stiff penalties
* Greek fires kill 60 but spare Olympia
* Bombings kill 42 in India
* Greek fires threaten ancient Olympia

Most Commented/Read Stories in 48 Hours

**** ****

25
Sep
08

Travel – Typhoon?lands in Fujian, 2 dead and?900,000 evacuated

? ?

CHINA / Regional

Typhoon?lands in Fujian, 2 dead and?900,000 evacuated

(Xinhua)
Updated: 2007-08-19 08:51

Just in:

FUZHOU — Two people were killed and one was missing in a landslide
triggered by typhoon Sepat which landed in east China’s Fujian Province
early Sunday morning, said flood control authorities with the province on
Sunday.

The three victims were in central Fujian’s Minhou County, where
torrential rains unleashed by Sepat triggered the landslide and tore down
houses. Detailed information is not yet available.

Downpour also hit the Minqing County to the west of Fuzhou, Fujian’s
capital, where the Daruo train station collapsed, causing derailment of
six carriages of a cargo train.

Typhoon Sepat, the ninth for this year that landed in Chongwu town,
Hui’an county of Quanzhou City early Sunday morning, lashed the central
and northern parts of the province with gale and rainstorm. Rainfall from
8 am Saturday to 8 am Sunday reached 200 millimeters in 11 of Fujian’s 95
counties, cities and districts and exceeded 300 millimeters in two
regions.

The typhoon damaged 366 houses in Quanzhou, destroyed crops on 5,920
hectares of land, cut off power supply lines on 5.7 kilometers and harmed
139 water control projects, affecting 162,600 people and inflicting an
economic loss of 72 million yuan ($9.5 million).

Neighboring Zhejiang Province also saw gales and heavy rains. By 6:00 am
Sunday, a total of 198 houses were toppled down in Wenzhou City with
475,912 people affected, causing an economic loss of 138.35 million yuan
($18.2 million) in the manufacturing city.

As it roars on, Sepat is expected to arrive at Jiangxi Province by Sunday
but has weakened to strong tropical storm.

Air traffic has resumed in Fujian, according to sources with the Xiamen
Airlines. A total of 179 flights shall be in service on Sunday.

Policemen guard the sea wall at the Yuhuankanmen Port in Yuhuan, east
China’s Zhejiang Province, August 18, 2007.The Southeast China provinces
are girding for the imminent Typhoon Sepat with cancellation of flights,
evacuations of ships, boats and more than half a million people.[Xinhua]?

Over 900,000 evacuated

FUZHOU — Typhoon Sepat packing winds of 119 km per hour landed in east
China’s Fujian Province at 2:00 am Sunday, said the Fujian provincial
meteorological station.

Before the landfall in Chongwu town, Hui’an county of Fujian, Sepat
landed in Hualien, the central-eastern part of Taiwan around 5:40 am
Saturday, with sustained winds of 180 kilometers per hour.

Power cut for thousands of households and downpours were reported in many
parts of the island.

Sepat also brought downpours to Hui’an with 50-80 mm of precipitation in
hours, according to the local meteorological station.

Some buildings in Hui’an were damaged, roofs lifted while billboards and
trees were toppled down, an official with the Hui’an office of flood
control.

The official said the typhoon was expected to cause more damages in the
county.

It rained heavily in the Fujian cities of Ningde, Fuzhou, Zhangzhou and
Quanzhou early Sunday morning, according to the Fujian provincial
meteorological station.

Sepat was moving northwest and was expected to arrive in Jiangxi Province
on Sunday afternoon, said an expert with the Fujian meteorological
station.

More than 900,000 people in the southern Guangdong Province and the
eastern provinces of Fujian and Zhejiang have been relocated to safety
before the arrival of Sepat.

A car wades ahead in the flood water as typhoon Sepat lands with heavy
winds and downpours in Cangnan county of the coastal city of Wenzhou,
east China’s Zhejiang Province on August 18, 2007. [Xinhua]?

The provincial meteorological station has issued the highest-level
warnings for Sepat.

More than 540,000 people in Fujian have been relocated to safe places by
7:00 pm Saturday, according to government officials.

All entries of expressways in Fuzhou, capital of Fujian, were closed,
while 109 domestic and international flights at the Fuzhou airport were
cancelled on Saturday. Xiamen and Jinjiang cities also cancelled outbound
flights.

The Ministry of Civil Affairs have sent 3,000 tents to evacuated people
in Fujian.

Downpours have been forecast to hit the coastal areas of Fujian and
neighboring Zhejiang Province starting from Saturday night.

Passenger liners shuttling from Fujian to Taiwan have been suspended
since Friday afternoon and it is undecided when services will resume.

In Zhejiang Province, nearly 300,000 people had been evacuated to safety
and 27,704 vessels back to harbor by 6:00 pm Saturday.

Rain with precipitations of up to 87 millimeters hit Wenzhou, Pingyang,
Taishun between Friday afternoon and Saturday.

Three large reservoirs in Wenzhou discharged 17.5 million cubic meters of
water in advance to leave room for more rainwater.

In Guangdong, around 70,000 fishing farm workers on the sea, fishermen
and residents in low-lying areas have been evacuated to safe areas.

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Top China News ?

* FM: Hu’s visit to C. Asia, Russia fruitful
* More Chinese, Japanese positive about bilateral ties
* 164 hospitals authorized to perform organ transplants
* One third Chinese scientists are women
* China to issue judicial interpretation on Property Law

Today’s Top News ?

* Typhoon lands in Fujian, 2 dead, 900,000 evacuated
* FM: Hu’s visit to C. Asia, Russia fruitful
* 181 trapped in flooded coal mines
* NASA orders shuttle home a day early
* SCO members tackle terrorism

Most Commented/Read Stories in 48 Hours

……….

24
Sep
08

8 – Six years of determination and action

? ?

CHINA / SCO Summit

Six years of determination and action

(China Daily)
Updated: 2007-08-16 07:05

June 14-15, 2001: Heads of China, Russia, Kazakhstan, Kyrgyzstan and
Tajikistan – the countries that jointly developed the “Shanghai Five”
mechanism to strengthen trust and facilitate disarmament in their border
regions in 1996 – and the President of the Republic of Uzbekistan decide
in Shanghai to lift the mechanism to a higher level.

They sign the Declaration on Establishment of the Shanghai Cooperation
Organization, and declare the birth of a new regional body: the Shanghai
Cooperation Organization.

They also sign “the Shanghai convention to fight terrorism, separatism
and extremism”.

September 13-14, 2001: The heads of governments of SCO member states meet
for the first time in Almaty in Kazakhstan.

They officially declare the establishment of regular meetings of heads of
governments’ mechanism within the SCO framework.

June 7, 2002: The second SCO summit is held in St Petersburg, Russia.
“The Charter of Shanghai Cooperation Organization” is adopted, laying out
the goals, principles and basic directions of SCO cooperation.

May 28-29, 2003: The third SCO summit is held in Moscow. It passes a
number of regulations and decisions to standardize the functioning of the
organization’s internal mechanism.

September 19, 2003: The Charter of Shanghai Cooperation Organization
takes effect officially.

September 23, 2003: Heads of governments of SCO member states meet in
Beijing. “The Program of multilateral trade and economic cooperation
among SCO member states” is signed and the organization’s first budget,
for 2004, approved.

January 15, 2004: SCO Secretariat opens in Beijing.

June 17, 2004: The fourth SCO summit is held in Tashkent, capital of
Uzbekistan. Official ceremony of the establishment of SCO regional
anti-terrorist structure is held. Mongolia becomes first SCO observer
state.

July 5, 2005: The fifth SCO summit is held in Astana, capital of
Kazakhstan. The heads of SCO member states issue a declaration. Pakistan,
Iran and India become SCO observers states.

June 15, 2006: The sixth annual meeting of the heads of SCO member states
is held in Shanghai. The member states issue a joint communiqu
reiterating their determination to fight terrorism, separatism and
extremism.

September 15, 2006: A meeting of heads of governments of SCO member
states takes place in Dushanbe, Tajikistan. SCO issues a joint communiqu
emphasizing stability in the region and further boosting of economic
cooperation within the SCO framework.

China Daily

(China Daily 08/16/2007 page2)

Top China News ?

* China, Kyrgyzstan pledge to boost trade, economic ties
* Insurance to cover all urban residents by 2010
* Frauds up as fiscal crimes hit a new high
* Income jump rings retail registers
* Hu begins landmark visit to Kyrgyzstan

Today’s Top News ?

* Hu, Iranian president discuss nuclear issue
* Petty crimes may not lead to penalties
* Olympic relocation claims refuted
* AIDS virus a ‘double hit’ to the brain
* China, Kyrgyzstan pledge to boost economic ties

Most Commented/Read Stories in 48 Hours

**** ****

23
Sep
08

My family – Hu Jintao Speech

Home
Hu’s Theories
Development of the Country
Building Harmonious Society
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Commentary
Forum
Key Documents
Photo
?

Article

?

Low-rent housing to cover urban low-incomers

(cri)
Updated: 2007-08-13 14:44

China’s low-income urban families will be covered by an improved low-rent
housing system that will allow them to enjoy affordable housing by 2010,
according to a new policy framework agreed by the State Council.

At present, the welfare housing system mainly covers the country’s urban
poor families, bolstered by a subsistence allowance program. Under the
new policy, the system will benefit some 10 million low-income urban
families with housing difficulties, the China Securities Journal said in
an article on Monday .

Low-rent apartments are essential to China’s housing security system.
They are either built or commissioned by the government and provided to
poor urban families at discounted rents.

The latest official figures show that the mechanism has so far covered
about 291 cities at or above prefecture level as of Dec. 20, 2006. It is
expected to be extended to all Chinese cities and towns by the end of
this year.

A State Council executive meeting presided over by Premier Wen Jiabao
also decided that more low-rent housing should be provided through
construction, purchase, renovation and other means.

The state councilors agreed that funding for low-rent housing provision
should be brought under the control of the annual central fiscal budget,
that land should be appropriated for construction, and that the
regulation of housing supply should be improved.

The central government will grant special financial support to central
and western regions for the low-rent housing develpoment.

?

?

* Hu visits flood-hit Chongqing
* Hu urges food safety
* China for harmonious world

* President Hu meets people
* ‘Left-behind’ kids need love
* More Slideshow

Who’s Who

? ?
? ? ? ? ?

* · Hu Jintao
* · Wu Bangguo
* · Wen Jiabao
* · More

Key Documents

* · Party Constitution
* · Historical resolution
* · 16th Party Congress Report
* · Premier Wen’s speech at China-ASEAN summit

CPC History

* · CPC in brief
* · CPC central organizations
* · Central Committee leadership
* · Ideological and throretical basis of CPC
* · Party Congress

Related Coverage

* · Chinese economy grows fast
* · Hong Kong 10 years later
* · Taiwan question
* · Provincial leadership changes
* · World Expo 2010 Shanghai

?

……….

22
Sep
08

Finance – Perfect spring cocktails

CITYLIFE / Bars & Cafes

Perfect spring cocktails
By Namrita Chow (Shanghai Star)
Updated: 2006-04-17 11:45

Fragrant Cloud at Jean Georges (70 yuan, US$9)

Sitting in the opulent surroundings of Jean Georges; soft dark sofas,
subtle service, delicate pungent nibbles – my all time favourite
cocktail: Fragrant Cloud. Infused with ginger, this is the perfect
combination of mystery; the extraordinary lining the ordinary. Soft
delicate taste to start with, followed by a powerful infused gingery
zesty feel. It kick-starts you into a new momentum, challenging your
sense of what is possible.

How to make the Fragrant Cloud:
Ingredients:
Bombay Sapphire Gin
Elderflower Syrup

A special base made from ginger; a trade secret!

Mix the above, shake well and pour.

Jean Georges
Location: 3 Zhongshan Road E1 (entrance from Guangdong Road)
Tel: 021-63217733

Caprioska at Face (61 yuan, US$8)

That perfect spring summer favourite; Caprioska; it demands being drunk
out in the sun. Sitting outside Face drinking this ultra-lemony zesty
zingy sweetish cocktail; your spirit leaps in bounds, jumping with joy at
the beginning of spring!

How to make the Caprioska:
Ingredients:
6-7 lemon wedges
1.5 oz vodka
1 spoon sugar

Squeeze the lemons, mix and mash all the ingredients, pour over ice and
serve immediately. Face Villa

Face

Location: 118 Ruijin Second Road, No. 4 building
Tel: 021-64664328

Page: 1 2

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Today’s Top

� Major topics for presidents: Nuke standoff, trade

� Three Gorges Dam nears completion

� China, US complementary in trade

� Suicide bomber kills 9 in Tel Aviv

� Penalties on shoes a lose-lose decision

To be continued

21
Sep
08

8 – China mulls deposit insurance company

CHINA / Chinadaily.com.cn Exclusive

China mulls deposit insurance company

By Dong Zhixin (chinadaily.com.cn)
Updated: 2007-08-03 15:48

China is considering setting up a deposit insurance company to improve
financial stability, central bank governor Zhou Xiaochuan said Thursday.

Establishing an insurance system for deposits is an urgent need of the
Chinese government, Zhou told visiting US Federal Deposit Insurance Corp
(FDIC) chairman Sheila Bair, according to Xinhua News Agency.

Such a mechanism will help make the financial market more active, and
encourage small and medium financial institutions to offer services to
farmers, Zhou was cited as saying.

“The time has come to put the arrangement into place as the macro-economy
and bank reforms are going smoothly; the financial sector is opening
wider to the outside world, and supervision of the financial sector is
improving,” Zhou told Bair.

China could learn from FDIC in strengthening supervision, promoting
financial services, and enhance financial stability, according to Zhou.

The two sides have signed a memorandum of understanding on improving
financial services, deposit insurance, personnel and information
exchanges, the report said.

A deposit insurance system will give borrowers confidence to deposit
money with smaller banks, especially in rural areas, Dow Jones newswire
cited Bair as saying.

Bair said China could reference the American deposit insurance system
because the two countries are comparable in having a large geographical
area with many small towns and rural areas, the report said.

Deposit insurance is a measure introduced by policy makers to protect
deposits, in full or in part, in the event of banks being unable to pay
deposits. The insurance can maintain public confidence in the financial
system and prevent bank runs, thus helping promote financial stability.

The United States was the first country to establish an official deposit
insurance scheme, during the Great Depression in 1934. Currently, nearly
100 countries have such an arrangement in place.

Top China News

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Today’s Top News

� Top US economists rap protectionist measures

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� US marine guilty of Iraq murder

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++++++++++ end ++++++++++