Looking ahead, we will continue working towards an ever closer relationship. I am convinced that co-operation between the OECD and China is of mutual interest, as well as to the benefit of the broader global community. Declaration and first summit of the Shanghai Co-operation Organisation. Through a series of joint activities agreed on an annual basis, EPOC has shared OECD country experiences, best practices and guidelines in order to assist China to identify those which might best be adapted to the Chinese context.
At the same time, EPOC members have gained insights into the major environmental challenges facing China, and the measures being taken to address them.
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Over the years the co-operation has focused on engaging Chinese experts and officials in several dimensions of the OECD Environment Programme. This includes seminars and publications on environmental taxation and use of economic instruments in environmental policies, environmental monitoring and indicators, environmental financing in the water sector, environmental compliance and enforcement.
More recently, China has been engaged in the work on extended producer responsibility schemes and contributing to the OECD Database on Instruments used for Environmental Policies. China has also shown high-level commitment to EPOC and its work. In , its RD spending amounted to 2. Since then, a number of fruitful co-operative activities have been conducted in innovation policy evaluation and inclusive innovation. The Oslo Manual and the OECD Science, Technology and Industry Scoreboard were translated and introduced in China, to provide understanding of the evolution and trends of international measurements for innovation, and to guide innovation surveys in China.
Chinese professionals were seconded to work at the OECD Secretariat on short-term assignments to enhance our mutual trust and interaction. On behalf of my Ministry, I would like to extend congratulations on the 20th anniversary of the China-OECD partnership in policy dialogues. China is now stepping into a new phase to build a moderately prosperous society, comprehensively deepen reforms and promote the rule of law. China is evolving towards a New Normal of economy that is better structured under a more advanced pattern and a more complex division of labour.
It is transforming from high-speed growth to medium-high-speed growth and from the extensive growth of size and speed to the intensive growth of quality and efficiency. In the current slow recovery of the world economy, it is the common task for every country to use innovation and address social and global challenges. The Chinese government is committed to an innovation-driven development strategy.
To deepen the reform of the scientific and technological system, we need to review the elaboration of innovation policies and flexibly utilise the tool to improve the efficiency of public funding and research activities. In the years to come, we look forward to even closer co-operation with the OECD in science, technology and innovation STI , especially in formulating the measurement system for STI policies, driving economic growth and generating benefits to and for the people through innovation.
Construction of the West-East Gas Pipeline kicks off. Since then three Economic Surveys of China have appeared — at somewhat irregular intervals in , and — following the traditional pattern of finalising a draft prepared by the OECD Secretariat in a lengthy meeting of the Economic Development and Review Committee EDRC , with the active participation of government representatives from the country studied, in the case of China its NDRC. There was no difficulty in persuading colleagues to take the role of lead discussants; this was a unique learning process for us to look at a wide-ranging list of policy issues for China and to reflect on the applicability of traditional OECD policy recommendations.
Looking back at the topics treated at the time, it is now even more obvious than it was in that there was much to be learnt from the Chinese experience: structural reforms seemed to work, financial stability had been largely restored after a difficult period, and the Chinese currency began to appreciate slowly — a recommendation in the Survey - shortly after our discussion. The interaction of the OECD with the Chinese authorities in Paris in the EDRC as well as elsewhere has become more intense since in step with the rapidly growing role of China in the world economy, but the fruitfulness of the OECD engagement, contributing to how China can best design her economic policy in the light of relevant international experience has stood the test of time.
First MOU on co- operation in the field of environment signed with the State Environmental Protection Administration, renewed consecutively in the following years to define issues of common interest. First incorporation of Chinese short- term economic data into OECD Main Economic Indicators database and publication including National Accounts data renewed consecutively in the following years to define issues of common interest. Seminar co-hosted with DRC on competition and reform in the rail sector, which helps advance debates at vice minister and ministerial level in China.
ZHOU Shengxian Minister of Environmental Protection of China Throughout the extensive evolution process of the infinite universe, only the Earth, a blue little planet in the space, is known to cradle humanity. Who by the riverside first saw the moon arise? When did the moon first see a man by riverside? Wise men at all times from China and abroad were baffled by such philosophical questions. However, properly handling the relationships between human and nature will surely become a crucial achievement of human civilisation.
With the vicissitudes of time, environmental and resource issues have become historical problems that human society has to face. Environmental protection has been attracting more and more attention from all nations around the world. As the largest developing country, China is faced with unprecedented challenges of resources and the environment in the course of rapid economic growth. The environmental problems that occurred in stages in developed countries a few centuries ago have concentrated and emerged in China in structured, compressed and complex forms during the last three decades.
As new environmental issues emerge before pre- existing ones have been properly addressed, there remains a big gap between improvement of the environment and the public expectation.
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Faced with the severe environmental situation, the Chinese Government is placing environmental protection in a strategic position more important than ever before, and giving tremendous support to the construction of ecological civilisation. President Xi Jinping said that building a new era of ecological civilisation and a more beautiful China is an essential part of the Chinese Dream to rejuvenate the nation. These show the strong will and determination of the Chinese Government to build ecological civilisation and protect the environment.
Today, the Chinese economy has entered into the New Normal. As new features and trends begin to emerge in ecological civilisation construction and environmental protection, priority is given to the harmony between socio-economic development and environmental protection, environmental protection and prevention, the recuperation of over-taxed resources and the environment, the satisfaction of the expectation of the public for a sound ecological environment, the systematic treatment of the problems concerning mountains, rivers, forests, farmlands and lakes, the total pollution prevention throughout the whole reproduction process, the reliance on legislation and rule of law to protect the environment, and the enforcement of the environmental accountability of local governments and Party committees.
Among them, the most fundamental and crucial task is to properly address the relationship between environmental protection and economic development, to explore new paths and develop new thinking, measures and methods to protect the environment. A new state of mind is needed to navigate the New Normal.
We should gain knowledge and pro-actively adapt ourselves to the emerging situation. We should follow it, not without making breakthroughs, to continually improve the level of ecological civilisation. First of all, in terms of approaches, we should positively explore new ways to protect environment while integrating economic and environmental objectives.
Secondly, in terms of the stage of development, the improvement of the environmental quality should work as our guide to push ahead the transformation of environmental management strategies. Thirdly, in terms of priorities, we should win the battle against the pollution of air, water and soil while pushing forward pollution prevention, ecological conservation and nuclear and radioactive safety supervision. Fourthly, in terms of working methods, the market and legislation should be allowed to have free play, with innovative ways of environmental management.
We will promote policy dialogue, deepen the mutually beneficial and pragmatic co-operation and scale up collaboration in a broader range of areas. We will work jointly with the OECD towards building a beautiful earth. Bank of China and China Construction Bank successfully undergo shareholding reform. Since then, we have been an active participant in the research of tax-related issues in all the working groups of the CFA, and subsequently global forums initiated by the OECD, including on transfer pricing, tax transparency and exchange of information, tax treaties and value-added tax VAT.
On the other hand, the OECD has provided us with long-term and invaluable expertise and technical support in relation to personnel training and legislative consultation.
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It has indeed played an active role in improving our tax policies and administrative system. We are working together on an equal footing with OECD and non-OECD countries to create international tax regulations, push ahead with the co-operation between jurisdictions in the tax field, and assist developing and low-income economies in enhancing their tax administration capacity.
The final completion of these projects will be essential to the establishment of a sound and equitable international tax system and the safeguarding of tax bases of all participating jurisdictions. The tax administrations worldwide are faced with common challenges in the era of accelerated economic globalisation in the aftermath of the recent financial crisis. In , G20 leaders called for enhancing international tax co-operation and cracking down on cross-border tax evasion and avoidance. We wish for an increasing role of the OECD in promoting international tax co-operation and in formulating equitable international tax rules.
We look forward to further co-operation and collaboration with the OECD to generate even greater outputs. Hence, we are always ready to learn from the most advanced and successful experiences in intellectual property policy-making and in management of intellectual property rights from governments and enterprises of other countries as well as from relevant international organisations.
China participates in the Forum on Partnership for More Effective Development Co- operation, as a first step in the build- up of a structured and sustained dialogue with non- DAC partners, and endorses the Paris Declaration on Aid Effectiveness. Two forums in China to improve public debt management and the development of government securities markets, in co-operation with the Ministry of Finance. China moves into a managed floating exchange rate system based on market supply and demand, with reference to a basket of currencies. Furthermore, the group discussed issues related to Balance of Payment adjustment and macroeconomic policies in a rather informal way, benefitting from confidentiality.
Over time, the emergence of new economic powers that became associated with the OECD raised the issue of participation in WP3 meetings. The G7 had already expanded informally some of the meetings to include Chinese representatives. Indeed, China was not only becoming one of the largest economies, but it also recorded a very large current account surplus which made its integration in the world economy particularly relevant.
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The decision was taken to invite representatives from the Chinese Finance ministry and the central bank to WP3 meetings, once a year. This gave the Chinese representatives the opportunity to interact with the other members on relevant policy issues, such as macroeconomic policies, structural adjustment, financial liberalisation.
This also enabled the other WP3 members to put their own policies into a broader perspective. The OECD responded to these trends by bolstering its relations with major emerging economies. This transition toward deeper OECD global outreach also took place at the onset of the global financial crisis, and came at the moment when concerted efforts and closer intergovern- mental co-operation became essential to address the challenging economic environment.
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