China will spend more on restive countryside

Jersay

House Member
Dec 1, 2005
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Independent Palestine
BEIJING (AP) - China's prime minister has committed billions of dollars to improve conditions in the restive countryside while saying economic growth would slow to eight per cent this year - much lower than international projections.

In a key address Sunday to the annual session of the country's figurehead parliament, Wen Jiabao also vowed to resume dialogue with Taiwan, split from the mainland since 1949. But he warned the island's democratically elected leaders against pursuing formal independence - a step that Beijing has warned could lead to war.

Concerning the country's budget, Wen said new spending on schools, farm aid, health care and infrastructure would produce a "rapid and significant change in the overall appearance of the countryside."

"Building a 'new socialist countryside' is a major historic task," Wen told 2,927 National People's Congress delegates in the massive Great Hall of the People beside Beijing's Tiananmen Square.

The central government budget for 2006 is set about $311 billion Cdn.

Of that, $6 billion will be set aside to raise spending on rural areas by 15 per cent this year to $47.5 billion, Wen said.

China's vast countryside is home to 800 million of its 1.3 billion people, and many outside the cities have failed to share in the fruits of the booming economy. Government promises to spread prosperity have taken on special urgency amid mounting rural anger over chronic poverty, corruption and other problems.

Despite his pledges, Wen made no direct mention of the abuses that have sparked unrest, such as land seizures for factories and other projects, and complaints that farmers are underpaid.

A 15,000-member security force was deployed around the hall to block protests, and pedestrians were stopped and questioned. At least two men were detained, and college students who approached a foreign reporter to practise their English were ordered away by a policeman.

Wen promised "fast, yet steady" economic development but said growth was expected to fall to eight per cent - down from 9.9 per cent last year and below a World Bank projection of 9.2 per cent for 2006.

China has in recent years sought to cool the economy to avoid inflation and other financial problems.

Meanwhile, in remarks published Monday, a top Chinese army official said the military was ready to step up training, warning Taiwan against attempting to declare independence.

"We resolutely oppose Taiwan independence and will never allow Taiwan independence secessionist forces to make Taiwan secede from China under any name and by any means," the official Xinhua news agency quoted Guo Boxiong, vice-chairman of the Central Military Commission, as saying.

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