China's Wen says recovery at 'critical' stage: report

POLITICAL ECONOMY

China's fiscal revenue rebounds in May: govt
China's fiscal revenue rose 4.8 percent last month from a year earlier, reversing the downward trend seen since the beginning of 2009, state media reported Tuesday. The country's fiscal revenue reached 657 billion yuan (96 billion dollars) in May, ending four months of decline, the state-run China Securities Journal reported, citing the finance ministry. "The increase in May's fiscal revenue has clearly reflected the recent improving economic fundamentals in the country," Jia Kang, a ministry official, told the newspaper. In April, government fiscal income fell 13.6 percent from a year earlier to 589.7 billion yuan, accelerating downwards from March's 0.3 percent decline, according to previously released ministry data. Fiscal revenues rose as industrial output and retail sales both grew in May at a faster pace than in previous months, which the government said showed its 580 billion dollar stimulus package introduced since last year was kicking in. Central government revenue also grew 5.7 percent year-on-year in May, the first increase after posting double-digit losses for the past four months, the ministry said in a statement. Revenue from business taxes picked up significantly in May, while money raised through corporate income tax, export tax rebates and stamp duty tax all narrowed losses in May compared with earlier months, the statement said. Chinese Premier Wen Jiabao said over the weekend that shrinking fiscal revenues along with unemployment and falling exports were preventing a solid economic recovery from taking root, state media reported.

by Staff Writers
Beijing (AFP) June 17, 2009
Chinese Premier Wen Jiabao said Wednesday the Asian giant's recovery was proceeding steadily, but efforts to reinvigorate the economy were at a critical stage, state media reported.

"China's economic performance has started to show positive changes, favorable factors are increasing, and the overall situation has stabilised and is moving in a good direction," Xinhua news agency cited Wen as saying.

"Our economy is at a critical moment as it steadily moves in an upward direction," Wen said in a cabinet meeting.

He warned "that the foundation for economic recovery is not stable and many uncertainties remain."

China would continue to carry out a proactive fiscal policy and a moderately easy monetary policy, according to the report, which cited a cabinet press release.

Investment growth was accelerating, consumption was maintaining a rapid and steady increase and domestic demand was playing a stronger role in boosting growth, Wen said.

The prime minister further said China's financial markets were stable, investor confidence was stronger and urban employment rising, it added.

"Government measures to fight the global economic crisis proved correct and effective, and should continue to be implemented and improved according to the changing situation," he was quoted as saying.

China announced a 580 billion dollar stimulus package late last year to help its economy, the world's third-largest, overcome the global financial crisis.

Wen's comments came as data released last week showed China's exports plummeted for a seventh straight month in May, down 26.4 percent year on year as result of severe downturns in the key North American and European markets.

But China's industrial output and retail sales growth both accelerated in May from previous months as stimulus measures kicked in, fuelling hopes that the country could lead a global recovery.

Share This Article With Planet Earth

del.icio.us Digg Reddit

YahooMyWeb Google Facebook

Related Links
The Economy

Tempur-Pedic Mattress Comparison

SPACE MEDIA NETWORK PROMOTIONS
Solar Energy Solutions
Memory Foam Mattress Review

Newsletters :: SpaceDaily Express :: SpaceWar Express :: TerraDaily Express :: Energy Daily
XML Feeds :: Space News :: Earth News :: War News :: Solar Energy News

POLITICAL ECONOMY

Emerging giants warn dollar at first summit
Yekaterinburg, Russia (AFP) June 17, 2009
Leaders from the world's top emerging economic powers on Tuesday delivered a warning-shot to the domination of the US dollar as their new forum flexed its muscle at a first ever summit. The leaders of Brazil, Russia, India and China -- dubbed the BRIC nations -- called for a "more diversified" currency system after a meeting that came amid growing talk over the dollar's future as the global ... read more

The content herein, unless otherwise known to be public domain, are Copyright 1995-2009 - SpaceDaily. AFP and UPI Wire Stories are copyright Agence France-Presse and United Press International. ESA Portal Reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. Advertising does not imply endorsement,agreement or approval of any opinions, statements or information provided by SpaceDaily on any Web page published or hosted by SpaceDaily. Privacy Statement