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          Top Biz News

          Top banker warns against rising trade protectionism

          (Xinhua)
          Updated: 2006-04-23 11:00
          Large Medium Small

          Governor of People's Bank of China Zhou Xiaochuan on Saturday called on all countries to take advantage the current favorable global economic growth to address structural problems and be against the trade protectionism.

          In a statement at the 13th meeting of the International Monetary and Financial Committee (IMFC), the policy-making body of the IMF, Zhou said that, against the backdrop of economic globalization in recent years, global outsourcing and reorganization of the supply chain are developing with increasing speed.

          He said that, as comparative advantage are being readjusted, trade imbalances are expanding, arousing protectionism sentiment and protectionism is on the rise.

          Zhou called on all countries to take advantage the current favorable circumstances afforded by strong global economic growth and address structural problems in a timely manner.

          "In particular, the developed countries, while enjoying low-cost imported goods and services, have to restructure their industrial sectors quickly to create job opportunities and export advantages to improve their competitiveness and dampen protectionism," Zhou said.

          He also said oil prices continue to surge in the face of geopolitical uncertainties and haphazard events and the impact of soaring oil prices on the global economic growth outlook -- particularly on activities in the net oil-importing countries -- might increase further.

          He said that China hopes that all concerned parties will refrain from destabilizing the oil supply.

          "Net oil-exporting countries are encouraged to improve their investment climate and gradually increase their production and processing capacities while the oil-importing countries are urged to conserve energy, develop cleaner substitutes and reduce their oil consumption," Zhou said.

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