Events: State Council executive meeting judged that a quarter of the economy: inflation expectations
Type of Event: Economics

Daily News: April 14, 2011 AD

Date: April 14, 2011 AD

Time Channel Today in History

Source: 东方早报

Event Details:

  State Council executive meeting judged that a quarter of the economy: prices rose faster, inflation expectations, the real estate market volume decline, house prices still rising in most cities
  After a series of intensive research, Premier Wen Jiabao routinely _select_ed economic data in the first quarter conference was held on the eve of a State Council executive meeting to analyze the economic situation in the first quarter.
  According to the Chinese government yesterday released the news network, and April 14, 2010 meeting of the year to analyze the economic situation in the first quarter compared to 13 held a State Council executive meeting for the first quarter to determine the overall economy is still "a good start the national economy . "
  Specific expressions slightly different, this year's meeting did not mention "general price level basically stable," but affirmed the "smooth functioning of the domestic economy this year, the national economy made a good start." Conference said: investment, consumption, stable export growth, domestic demand and support the enhanced role; steady growth of industrial and agricultural production situation for the better; revenue and expenditure increased rapidly, stable money and credit callback, economic growth gradually pulling power from the main policies to stimulate the independent growth and orderly transition; employment and incomes continue to increase.
  Meeting special requirements, all localities and departments should "focus on doing the whole situation, long-term impact on the important work," "enhance the credibility and execution."
  "A new world economic variables"
  Not to mention "basic stability of general price level", not the outside world beyond the expected. In fact, the meeting that "the current international environment is still extremely complex and unstable, but also a lot of uncertainty."
  Bear the brunt of inflation. The meeting pointed out: "From an international perspective, growth in major economies, economic recovery, but the international market, food, oil and other commodity prices, inflationary pressures from emerging economies are being extended to the developed economies, the world economy has not return to normal growth track, but now there are some new variables. "
  "From a domestic perspective, though more favorable conditions for development, but also many challenges, mainly faster inflation, inflation expectations, the real estate market volume decline, house prices still rising in most cities, the macro-control is still face greater pressure. "conference said, we must keep a clear mind, enhance the sense of calm observation, calmly, rainy day, prepared to deal with various difficulties and risks of the preparation.
  The above mentioned prices, price formulation and economic situation in the first quarter of last year, compared to when the meeting has a large discrepancy, when decision makers are more concerned about the international financial crisis and economic recovery continued twists and turns.
  SME credit rush to the rescue
  13th meeting of the next phase of the deployment of seven economic focus, monetary policy is quite rare to be the decision makers preferences.
  State Council executive meeting to point out that monetary policy should "not only by inflation monetary factors, but also the real economy to meet the reasonable financial needs." Which, "to guide commercial banks to increase investment in key areas and weak links, especially SMEs, credit support ", was included in the focus.
  Prior to the 8 to 9, Wen Jiabao on economic performance, the research of the private economy and import and export province province - "Zhejiang" in Zhoushan, Ningbo City, visit the fishing village of fishermen in depth, study marine science and technology, equipment manufacturing, textile export enterprises and international shipping service center.
  13, according to the State Council executive meeting, in foreign trade, "to maintain the basic stability of trade policy", was on the top.
  "Real economy hollowing out"
  Wenzhou weeks German SME Development Association president told the Post reporter, Wenzhou, Zhejiang SMEs than is currently experiencing a "crisis" period is also a serious crisis, the direct performance of the "hollowing out the real economy." Such as labor and raw materials prices continue to rise, some traditional manufacturing industries are increasingly meager profits, some companies even in zero profits, causing many companies do not want to focus in recent years into the industrial, while he moved to the mining, housing real estate, speculation on the cotton fields.
  Zhou German that the current government at all levels to guide industrial capital nurturing a good time, relevant departments to change the thinking, to develop measures to guide private investment to find new opportunities on the industrial. "If we continue to 'hollowing out', will be less than the potential for economic development."
  Zhou German said, from the historical experience, the central government introduced the policy to support the private economy before, often accompanied by the senior leadership of private enterprises in Zhejiang examination.
  Zhejiang Province in this year's "two sessions", Zhou German submitted a "return to private capital the government to guide industry" proposal.
  Focus of economic work next stage seven
  [Monetary policy]
  Elimination of monetary factors of inflation
  Effective implementation of prudent monetary policy well. Handle the control of monetary aggregates and improve the structure of the relationship between inflation and economic growth relationship, the integrated use of open market operations, reserve ratio, interest rates and other price and quantity of tools to further improve the RMB exchange rate formation mechanism, social scale of financing at a reasonable range, to guide commercial banks to increase focus areas and weak links, especially SMEs, credit support, reasonable regulation of long-term loans and the ratio of short-term loans to improve the proportion of direct financing, both to eliminate inflation monetary factors, but also the real economy to meet the reasonable financial needs.
  [Price controls]
  First, from the control of the money to start
  Everything possible to maintain the basic stability of general price level. This is the primary task of macroeconomic regulation this year, and most urgent task. Necessary to fully implement the State Council on the stability of the full deployment of the general price level, from control of the money, develop production and ensure supply, invigorate circulation, strengthen supervision in a bid to take various measures and comprehensive response to international and domestic price pressures, the price rise within the limits of tolerance.
  [Regulation] the property market
  Direction of the task, not to relax efforts
  Consolidate and expand the real estate market results. Adhere unswervingly to control the direction, control efforts are not relaxed. Strict control of speculative investment in housing demand, efforts to increase market supply and stabilize market expectations, the price control at a reasonable level. Effectively enhance the construction of affordable housing, will break down the task of building affordable housing implementation, and project construction, completion of plans made public arrangements for their supervision. And to establish affordable housing construction, configuration, operation and exit management system. Efforts to increase the supply of common commercial housing, the hand can not relax.
  [Food production]
  Improve the circulation system of agricultural products
  Unrelenting grasp of agriculture and food production. Fully grasp the spring production, strengthen field management in the late wheat, rice acreage to further implement and strengthen guidance and spring technology services to improve disaster prevention and mitigation, and pest prevention and control, enhance agricultural supply and ensure, to win bumper summer grain and oil . Continue to implement the "rice bag" responsibility system of provincial governors and the "vegetable basket" Mayor responsibility to improve the circulation system of agricultural products. Overall strengthening of irrigation and other agricultural infrastructure, enhancing the ability of agriculture to withstand natural disasters.
  [Foreign Trade]
  Maintain the basic stability of trade policy
  Promote sound and rapid development of foreign trade. Maintain the basic stability of trade policy, accelerate the transformation of foreign trade development mode, and further optimize the export structure, trade adhere to science and technology, quality and market diversification, and actively promote the upgrading of processing trade, participate in international competition and cooperation and striving for new advantages, comprehensive enhance the quality and efficiency of foreign trade. Good "introduction" and "going out", and accelerate the implementation of "going out" strategy, focusing on risk prevention and improve efficiency.
  Increased energy consumption and emission standards
  Great efforts to grasp energy conservation. Determined the effect of high energy consumption and high pollution industries excessive growth, energy consumption and emission standards to improve the access threshold, increase the difference in price, punitive tariff policy enforcement. Strengthen the responsibility of emission reduction targets. Accelerate the implementation of key energy saving projects.
  [Mode of development]
  Improve the environment for SME development
  Actively promote the development mode. To accelerate industrial restructuring and upgrading, accelerating the development of the strategic development of new industries, promoting the great development of services, improve the environment for SME development; from the deepening of the income distribution system and the taxation system, improving the social security system to protect the livelihood, improve the consumption environment to start, and to establish long-term mechanism to expand consumption; to take different measures to promote basic balance in international payments.
  [Other]
  Food and drug safety
  Depth food drug safety, and resolutely prosecute people's lives and health hazards of criminal acts.
  (Editor: Wang Hongning)
Translated by Google

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