XI IN YINCHUAN FOR INSPECTION

Xi Jinping, general secretary of the Communist Party of China Central Committee, on Tuesday inspected the city of Yinchuan during his trip to Northwest China's Ningxia Hui autonomous region.

Xi visited a rural ecotourism park and a vineyard near the Helan Mountains to learn about the development of local signature agriculture and the efforts on strengthening the ecological conservation of the mountains.

Xi stressed the need to actively develop water-conserving agriculture and refrain from water-wasting irrigation.

Xi made the remarks when visiting a rural ecotourism park in Helan county to learn about the integrated development of modern agriculture and leisure tourism there.

LI: AID MUST GO DIRECTLY TO BENEFICIARIES

China will set up a special transfer payment mechanism to ensure that newly increased fiscal funds this year will directly benefit businesses and people. A host of related arrangements were given a green light on Tuesday at the State Council's executive meeting, chaired by Premier Li Keqiang.

It also was emphasized at the meeting that it is an important mission for the government this year to advance the six priorities where stability is key and the six areas where protections are needed. Areas that primarily rely on prefecture and county level governments are efforts to support jobs, people's basic living needs and businesses.

This year, the government will reduce tax and fee payments on enterprises by 2.5 trillion yuan ($353 billion). This will effectively ease difficulties on businesses−particularly micro, small and medium-sized ones−and meet pressing demands from vulnerable individuals. Yet it will also lead to sizable shortfalls in the fiscal resources for prefecture and county governments.

The 2 trillion yuan of new fiscal funds made available by raising the budget deficit and issuing government bonds for COVID-19 control will go straight to prefecture and county governments.

"Both primary-level governments and companies look forward to benefiting from these funds as early as possible. This measure must be promptly and fully implemented," Li said.

Those at the meeting decided that a special transfer payment mechanism will be set up to ensure that all new fiscal funds this year will be fully channeled to prefecture and county governments at the earliest possible time by increasing transfer payments from central to local governments as well as transfer payments of government-managed funds.

Prefecture and county governments should create records to keep track of the use of funds and ensure that each item of expenditure is accounted for.

"The economy has been steadily reopening. We are also faced with great uncertainty in the global environment. Our top priority now is to help businesses and the people resolve their pressing difficulties," Li said.

"Though provincial governments will only be pass-throughs for these funds, they must not just sit idly by and do nothing. While enhancing the oversight of the funds, they will work to put more fiscal resources at primary-level governments' disposal to fill the shortfall of funds, thus ensure that measures supporting jobs, livelihoods and market players are fully implemented."

It also was made clear at the meeting that it is important that the Ministry of Finance establish a mechanism to supervise the use of the funds.

CPI GROWTH EASES FOR FOURTH CONSECUTIVE MONTH

China's consumer inflation slowed to a 14-month low in May, as the food supply increased while business resumption deepened, the National Bureau of Statistics said on Wednesday.

Growth in the consumer price index, a main gauge of inflation, eased for the fourth consecutive month to 2.4 percent year-on-year last month, versus 3.3 percent for the previous month, the bureau reported.

Food prices increased 10.6 percent year-on-year in May, down 4.2 percentage points from April. The rise in pork prices, the biggest contributor to CPI growth, slowed to 81.7 percent year-on-year, versus 96.9 percent in April.

The core CPI, which excludes food and energy prices, went up 1.1 percent year-on-year last month, unchanged from a month earlier.

Meanwhile, the producer price index, which gauges factory gate prices, declined 3.7 percent year-on-year, partly due to the high comparison base of last May.

Consumer inflation is expected to remain on a downward trajectory over the second half of the year, with overseas stimulus to have a limited impact on China's inflation in the coming months, said Wang Tao, chief China economist at Swiss bank UBS.

Whole-year CPI may stand at around 2.4 percent, well below this year's control target of 3.5 percent, according to Wang.

FM: NATIONAL SECURITY LAW A LITMUS TEST

China urged the United Kingdom to respect the country's legitimate rights to safeguard national security in the Hong Kong Special Administrative Region and said the UK must behave with extreme prudence on this issue.

State Councilor and Foreign Minister Wang Yi made the remark in a phone conversation with UK Foreign Secretary Dominic Raab on Monday.

As permanent members of the United Nations Security Council, China and the UK should set an example in abiding by the basic norms governing international relations and not interfering in other countries' internal affairs, he said.

Wang said that China, in its relations with the UK, has neither interfered in nor pointed a finger at the UK's domestic affairs, adding that Hong Kong affairs are purely China's internal affairs that allow for no external interference.

China hopes that the UK will respect the Constitution of the People's Republic of China and the Basic Law enacted in accordance with the Constitution, respect China's legitimate rights to safeguard national security on its territory, and respect the Chinese central government's administration of Hong Kong under the principle of "one country, two systems", he said.

Wang also noted that the national security legislation for the SAR aims to better implement the "one country, two systems" principle.

He said that Article 1 of the decision passed by the National People's Congress late last month made it clear that the principles of "one country, two systems", "Hong Kong people governing Hong Kong" and a high degree of autonomy will be fully and faithfully honored.

He said that China will never accept the groundless accusation that the national security legislation will change "one country, two systems".

Calling the national security legislation a litmus test, Wang said that if one expects lasting peace and stability in the SAR, they should support rather than worry about the legislation. If one wants "one country, two systems" to go a long way, they should support rather than oppose the legislation.

Raab said in the phone conversation that the UK is committed to developing a strong bilateral relationship with China and the two sides can have a candid exchange of views on any topics within the framework of a mature UK-China relationship.

He added that his country is willing to deliberate on the contents of Monday's in-depth exchanges, and continue to communicate with China in the spirit of mutual respect.

In another development, while attending the 10th China-EU High Level Strategic Dialogue, Wang said that China and the European Union are long-term comprehensive strategic partners, instead of institutional competitors.

The dialogue, convened via videoconference on Tuesday, was held by Wang and EU High Representative for Foreign Affairs and Security Policy Josep Borrell.

Over the past years, the China-EU relationship has kept cooperation as its main keynote with fruitful results achieved in dialogue and cooperation in all areas, Wang said, noting that China and the EU have more cooperation and consensuses than competition and differences.

Borrell said the EU will ensure the completion of negotiations on the bilateral investment agreement within this year and build a closer EU-China relationship.

CHALLENGE REMAINS AS NATION TRIES TO SCRAP ABSOLUTE POVERTY

While China is close to eliminating absolute poverty, experts say figures released by Premier Li Keqiang last month show that much work needs to be done to give many Chinese people a decent life.

While speaking at a news conference after the end of the annual session of the National People's Congress in Beijing late last month, Li cast a spotlight on the scale of China's low-income population, saying about 600 million Chinese earn about 1,000 yuan ($141) per capita a month−barely enough for rent in mid-sized cities.

He lamented that the COVID-19 outbreak, which has been largely brought under control on the Chinese mainland, has made the lives of people in low-income communities even harder.

The premier was referring to the loss of jobs triggered by the widespread suspension of production and canceled overseas orders due to the pandemic.

The new figure has shed light on the size of China's vulnerable population.

"The 600 million low-income people had long hidden behind the average figures," said Yan Jirong, director of the Institute of Public Governance at Peking University.

Though their income is above the official poverty line, their lives remain difficult, and they can only maintain a basic living, not a decent life, he said.

An analysis of public income data by Beijing Normal University's China Institute for Income Distribution shows rural residents account for 75.6 percent of people earning less than 1,090 yuan a month.

Among the 600 million low-income population, 36.2 percent are in the central provinces and 34.8 percent in western regions, the Institute for Income Distribution said.

Analysis by the institute found that poor rural families are usually large, with multiple seniors and children to support.

Meanwhile, many rural workers are illiterate or dropped out of the education system before finishing primary school. Some work in self-sufficient family workshops, some are unemployed and others have never entered the job market.

Wang Sangui, director of the National Poverty Alleviation Research Institute at Renmin University of China, estimated some 40 percent of rural residents were in the low-income group, given last year's median per capita disposable income of rural residents was about 1,200 yuan a month.

"The industry is so weak in rural areas that it cannot generate enough income for rural residents," he said.

Yan added that the group may also include impoverished communities in smaller cities, where job opportunities are less abundant.

The novel coronavirus epidemic has sharply reduced foreign orders for Chinese products and caused the service sector to shrink, making jobs even scarcer, he said.

The urban poor, though entitled to State benefits, often do not have access to poverty relief programs for poverty-stricken areas, which help farmers develop skills, home-based businesses and other sources of sustainable income.

"To increase impoverished urbanites' income, jobs are the key," Yan said.

The 600 million low-income people who are grappling with relative poverty have surfaced at a time when China is winning its battle against absolute poverty.

VETERANS AFFAIRS TO FOCUS ON RETIREES' STANDARD OF LIVING

The major task for authorities in charge of veteran affairs this year is to help military retirees land civilian jobs and improve their standard of living, according to a senior official.

Sun Shaocheng, China's minister of veterans affairs, said in a ministry meeting last week that President Xi Jinping and other top leaders talked about veteran affairs and gave specific instructions during the third sessions of the 13th National People's Congress and the 13th National Committee of the Chinese People's Political Consultative Conference, both of which were held in late May in Beijing.

The minister urged officials to learn from the attention and care Xi gives to veterans and fully implement the president's instructions. They should focus on improving veterans' employment and boosting their overall well-being, he said at the meeting, which was held to brief ministry officials about the two sessions.

The government must ensure veterans' employment and improve their treatment, according to this year's Government Work Report delivered by Premier Li Keqiang to the NPC.

The premier also urged government departments to take concrete measures to fulfill policies on retirees' treatment when he met reporters after the NPC annual session last month.

Zhang Jun, procurator-general of the Supreme People's Procuratorate, said in the annual report of the top procuratorate delivered to the NPC that prosecutors will establish a "green channel" across the country to offer expedited and prioritized services to veterans.

Meanwhile, Wu Changde and Wei Changjin, national political advisers from the military, called for better vocational training and increased pensions for retirees during the recent session of the CPPCC National Committee.

China has taken a host of measures over the past two years to improve benefits for veterans and military members' families.

In March 2018, the Ministry of Veterans Affairs was established. The National Veterans Service Center was set up in February 2019, and since then, veteran service centers or stations have been established at every administrative level, from community to provincial.

Guidelines listed in a document published by the government in January cover almost all elements of daily life, ranging from medical care, housing and education to transportation and leisure activities.

Under the guidelines, members of the armed forces, military retirees and other qualified people should be given priority and favorable policies at designated elderly-care centers or hospitals. They should also be given free admission or discounts at museums, parks and other tourism sites.

Currently, each veteran is eligible for two years of free vocational training and will receive a living allowance during the training period.

Employers are urged to give preference to veterans in recruitment, set lower requirements for job applicants who have served in the military and arrange periodic training for any veteran they hire.

Enterprises that hire veterans can be eligible for tax benefits if they meet certain criteria.

SURVEYORS TAKE GIANT STEPS TO RECALCULATE HEIGHT OF QOMOLANGMA

On May 27, a strong, cold wind swept across the summit of Qomolangma, known in the West as Mount Everest. The air temperature was -30 C. Eight mountaineers reached the summit at 11 am and began conducting a survey that attracted the attention of a large part of the Chinese population−precisely determining the height of the world's highest mountain.

The team remained at the summit, at an altitude of about 8,840 meters, for two-and-a-half hours−a record for Chinese climbers. They erected a surveyor's beacon, an important measuring device, and installed an antenna for the Beidou Navigation Satellite System on the snow-covered peak, which measures less than 20 square meters. Meanwhile, observations were conducted from six points lower down the mountain.

It took six months of hard work to prepare for those two-and-a-half hours of data collection for scientific research. The program officially started on April 30, when the Ministry of Natural Resources announced the start of the remeasuring process. The project was undertaken in conjunction with the Ministry of Foreign Affairs, the General Administration of Sports of China and the government of the Tibet autonomous region.

"As this year marks the 60th anniversary of the first successful expedition (by Chinese mountaineers) to Qomolangma from the Chinese side and the 45th anniversary of China's first measurement of its height, the remeasurement carries great historical importance," the ministry said on its Sina Weibo account.

The mission was undertaken by the 1st Geodetic Surveying Brigade, under the ministry's jurisdiction, and members of the China Mountaineering Team, said Wang Yongfeng, deputy head of the Mountaineering Sports Management Center at the sports administration.

On May 6, a team of 30 surveyors and mountaineers started out from North Base Camp in Tibet.

It took nearly a month to finish the survey, which was one of the most challenging ever conducted on the mountain. The results will not be announced until a series of complex calculations have been completed in the coming months.

According to the ministry, innovations in techniques and equipment included the use of the BeiDou-3 Navigation Satellite System, Chinese made surveying equipment, a gravimeter carried by plane and 3D interactive virtual reality.

THOUGHT FOR THE DAY

Avoid having your ego so close to your position that when your position falls, your ego goes with it. - Colin Powell