Chinascope – Page 756

The State Council Approved the Pearl River West River Economic Belt Development Plan

China Review News carried an article that was originally published in People’s Daily about the development plan for the “Pearl River West River Economic Belt.” According to the article, the Guangdong Development and Reform Commission has received approval from the State Council to proceed with the development plan. The plan makes eco-environmental protection a prerequisite, while focusing on the development of infrastructure, urbanization, and public services in the Pearl River and West River regions. According to the article, the plan will help to increase the effort of environmental protection while promoting economic exchanges in the inland region. According to the approval that the State Council issued, the municipal governments of Guangdong and Guangxi provinces will collaborate in carrying out the execution of the development plan. The Guangdong Development and Reform Commission will also be responsible for supervision and inspection.

Source: China Review News, July 20, 2014
http://hk.crntt.com/doc/1032/9/5/8/103295866.html?coluid=151&kindid=11511&docid=103295866&mdate=0720115937

Briefings | | July 21, 2014 | Economy/Resources

Ministry of Organization: Prevent Cadres from Losing Faith in Communism

According to an article in Qiushi Theory, a political theory periodical published by the Central Party School and the Central Committee of the Communist Party of China, the Ministry of Organization recently issued a notice about strengthening Party cadres’ beliefs and their education in moral conduct. The notice required that all levels in the Party organization should provide guidance to help the Party cadres stay firm in their belief in communism as well as the ideology of socialism with Chinese characteristics. According to the notice, as the domestic and foreign environment keep changing, an alarming concern has developed that some cadres have encountered interference and have demonstrated both a loss in their belief in Communism as well as poor moral behavior. The notice said that the ideology education will help to prevent the cadres from becoming lost when they hear such remarks as “western democracy,” “universal values,” and “civil society,” as well as when they fall under the influence of feudal superstition and religion.

Source: Qiushi Theory, July 20, 2014
http://www.qstheory.cn/freely/2014-07/20/c_1111705930.htm

Briefings | | July 21, 2014 | Government/Politics

People’s Daily (Overseas Edition): The U.S. Has Become a “Paper Tiger.”

People’s Daily (overseas edition) published a commentary article in which it gloated that the United States has become a “paper tiger.” During the era of the first Chinese Communist leader, Mao Zedong, this name was once a household slogan: “The American imperialist is a paper tiger.”

The article quoted one [U.S.] Republican senator’s words, “Before the world, the United States has behaved like a paper tiger." The commentary said that this expressed a lot of people’s feelings. The article further commented that many critics had other names for this "paper tiger," such as “an ass in a lion’s skin” [one of Aesop’s Fables], or “untrustworthy.”

The article ascribed the American demise to its predestined fate. It said that America, in a world developing toward a multipolar direction, is in an era of in which its power is in relative decline and Obama is destined to live with criticism. “Perhaps Obama can only lament that he was not born at the right time." … “Who would not want to have the prestige of ‘the carrot and the stick?’ Now, however, the United States has been stretched beyond its capability. At such a moment, [who says] being ‘prudent’ and even ‘weak’ does not require courage?”

The article didn’t spare words in blaming Obama, “Of course, for the United States to become a ‘paper tiger,’ in addition to objective factors, Obama is not without responsibility. Who allowed him to, on occasion, not control his impulse before the world to draw a ‘red line’ and then hopelessly watch the red line become a pink line, and then turn white [pale] — a lie showing it was impossible for him to keep his promise? After stumbling over the ‘red line’ on Syria’s chemical weapons, he could not resist the temptation again in the Crimea issue. Consequently, the ‘paper tiger’ image is starting to become ‘deeply rooted in people’s hearts.’”

Source: People’s Daily (oversea edition), July 17, 2014 http://paper.people.com.cn/rmrbhwb/html/2014-07/17/content_1453746.htm http://news.xinhuanet.com/world/2014-07/17/c_126762638.htm

Briefings | | July 18, 2014 | US-China Relations

Local Governments Are Increasing Their Investments

China Enterprise News reported that, in spite of the central government’s efforts, local governments are increasing their expenditures and banks are funding the local governments through financial management products.

According to the National Bureau of Statistics, none of the provinces, except Anhui, reached their GDP goals in the first quarter of 2014. Heilongjiang Province had the lowest GDP growth rate. At 4.1 percent the rate was less than half of the estimate. As of the present, the provinces of Guangdong, Hainan, Hebei, Heilongjiang, and Guizhou, as well as Tianjin City, have announced grand investment plans. When added together, local government investments total more than 10 trillion yuan.

With few local projects eligible for central government funding, the sources of funds for these grand investment plans remains to be resolved. Tight bank credit and a sluggish land market do not offer any hope. Even the recent pilot program that allows local governments to issue and service their own bonds cannot cover the gap. The 14 billion yuan in bonds that Guangdong plans to issue is miniscule compared to the investment plan of 3.67 trillion yuan it announced on April 9, 2014.

However, according to sources from banks, the banks have been funneling funds to local governments through financial management products such as loan trusts. For the local governments, the cost of these funds is higher than regular bank loans. However, the approval process is not subject to policy changes and, once approved, the proceeds are transferred promptly to the local governments.

Source: China Enterprise News reprinted by Xinhua, July 15, 2014

http://jjckb.xinhuanet.com/invest/2014-07/15/content_512790.htm

Briefings | | July 18, 2014 | Economy/Resources

State Internet Information Office Crack Down on Cyber Rumors

The State Internet Information Office (SIIO), the government agency overseeing China’s Internet activities, is investigating a number of websites for spreading rumors. Thirty-one websites have been shut down.

According to SIIO, "Recently some unruly individuals have used the Internet to maliciously fabricate and spread rumors of an evil nature. The stories were serious misrepresentations of the facts. Such behavior constitutes a serious breach of public morality and a disruption of cyberspace and the social order. Some mismanaged websites allowed such rumors to spread, resulting in adverse effects."

It is reported that SIIO is launching a nationwide crackdown on Internet rumors and rumormongering behavior. It will rely on reports from Internet users and its own leads to investigate websites and Internet user accounts, in conjunction with the pursuit by the public security authorities.

Source: Xinhua, July 17, 2014

http://news.xinhuanet.com/politics/2014-07/17/c_1111673632.htm

Briefings | | July 17, 2014 | Information/Technology

PBoC Dedicates Effort to Cleaning Up Renminbi Bills Having Falun Gong Information

A source inside China revealed a document to Chinascope. The document shows that People’s Bank of China (PBoC) has gotten a new task these days, a task that has nothing to do with its banking functions. To break the government’s prohibition and ban on the practice of Falun Gong, Falun Gong members in China have been printing their information on renminbi bills, which makes that information much harder to monitor and remove. In a document (No.75 [2014]) labeled as classified and extremely urgent, PBoC will allocate dedicated efforts to accomplish the task of dealing with what it calls "reactionary propaganda bills." Below is the translation of a summary of the document:

To crack down on activities of Falun Gong members’ producing and circulating reactionary propaganda bills and to check the growth and spread of Falun Gong reactionary propaganda bills, based on arrangements of the relevant departments of the central [government or the central Chinese Communist Party Committee], the People’s Bank of China (PBoC) has decided to launch a task across the entire country, dedicated to rectifying Falun Gong reactionary propaganda bills (henceforth referred to as the Dedicated Task).

Goal: Through this Dedicated Task, the PBoC and financial institutions in the banking industry will play their full functionary roles, further enhance prevention and strengthen the crackdown, increase mobilization, clear up recycle and exchange channels, effectively cut off the chains of circulation of reactionary propaganda bills, gradually establish a long-term mechanism, and squeeze the space of reactionary propaganda activities that Falun Gong engages in via the use of renminbi bills.

Major Measures: (1) Through joint human and equipment prevention, prevent financial institutions in the banking industry from circulating reactionary propaganda bills in society. (2) Improve relevant business training and become more sensitive politically. Make good use of the depository and exchange windows for recycling damaged renminbi. Have a presence at farmers’ markets, stores and supermarkets, and key public transportation terminals where people and cash flows are intense to conduct deposit and exchange services dedicated to this task. (3) Establish normal and thorough exchange and information sharing mechanisms with financial institutions and cooperate with relevant law enforcement agencies. (4) Launch broad propaganda to enhance public awareness of caring for renminbi and proactive prevention. Remind clients that if they have renminbi bills that have printed words or written words on them, or are damaged or smeared, they can exchange these bills at the banks retail outlets free of charge.

[According to Wikidedia and other sources, Falun Gong writings on such bills include: "Falun Dafa is good;" and "Heaven will destroy the Chinese Coummunist Party. Those who resign will be saved"]

Source: Chinascope.

Briefings | | July 17, 2014 | Government/Politics

Government Think Tank: China Faces Extended Slow Growth

Cai Fang, Director of the Institute of Population and Labor Economics under the Chinese Academy of Social Sciences, published to rebuttal to the prediction that the bubble of the Chinese economy may burst. He also admitted that China’s economy is in for a period of slow growth.

Cai wrote that, over the years, there have been significant changes in the demographic structure of China’s population. After the growth rate of the population between 15 and 59 peaked in 2010, it then slowed down and has since fallen. On the other hand, the dependency ratio is increasing. This fundamental demographic change has led to a general shortage of workers, persistent wage increases, a substantial surge in manufacturing costs, and the disappearance of China’s traditional competitive advantage. More importantly, because there is no unlimited supply of labor, the returns on capital have been decreasing. The returns on investment have fallen considerably. The gradual reduction of surplus agricultural labor will also slow the labor reallocation of resources, thereby reducing any improvement in productivity. Therefore, China is expected to experience a period of slow growth in its economy.

Source: Qiushi, July 15, 2014

http://www.qstheory.cn/dukan/qs/2014-07/15/c_1111595037.htm

Briefings | | July 17, 2014 | Economy/Resources

Study Times: Developing the Party in the Non-Public Sector

Study Times published an article on further developing the Chinese Communist Party (CCP) in non-public economic entities. The article highlighted a few areas on which to focus. The first area it discussed was the leadership structure. The article pointed out that nearly one third of the provinces in China have used the Provincial Industry and Commerce Association as a vehicle to establish Party committees. They can be set up and given the responsibility to oversee the Party’s development in the non-public sector. The second area was the enterprise’s role as a provider of capital. Business owners have, to a large extent, influenced the progress of the CCP’s development in their enterprises. The CCP should absorb personnel into the Party, strengthen people’s belief in the socialist path with Chinese characteristics, and arrange political positions for them as a reward. Finally, the article emphasized the role of the Chamber of Commerce. The Chamber of Commerce has become more and more important in acting as the CCP’s base for CCP members in small businesses and in educating investors to support the Party’s development in their private businesses.

Source: Study Times, July 7, 2014
http://www.studytimes.cn/shtml/xxsb/20140707/5703.shtml

Briefings | | July 16, 2014 | Government/Politics

Xinhua Commentary Series: Spotlight on the U.S. Presidential Election

Wu Guoguang: Xi Jinping’s Reversal of the Course, Will China’s Transition be Peaceful or Marked with Bloodshed?

Cheng Xiaonong: U.S.-China Strategic Relations Have Crystallized

Xinhua Commentaries: “Exposing the Three Major Political Deficits of the U.S.”