OECD (Organisation for Economic Co-operation and Development) Secretary-General Donald Johnston said on Mar.21 that OECD is enhancing the cooperation with Chinese government and vows to forge a closer partnership with China on the basis of equality, mutual benefit and reciprocity.

At the invitation of China Foreign Affair University, Johnston delivered a speech entitled Global Economy and Chinese Economy on Mar. 21, during which he mentioned his statements.

Johnston noted that China's reform and opening up policy not only achieved remarkable economic success at home, but also contributes to the better operation of global economic cooperation abroad. China has broadly opened its door to the outside world and established close ties with many countries, which is conducive to the development of China.

Johnston added that there are some problems that can not be ignored in the process of china's rapid economic development. For instance, the regional disparity and the difference between town and country are still serious: the per capita GDP in some costal regions such as the Pearl River Delta, Yangtze River Delta and Pan Bohai Sea has exceed 3,000 US dollars, approaching the level of ROK; however, the per capita GDP in the inland areas is merely higher than that in low-income countries.

Meanwhile, the operation of China's banking industry, with low return rate and high possibility of financial risks, is not satisfactory. Therefore, China should put more emphasis on the stabilization of economy and the control of inflation, and adopt more flexible policy on the interest rates adjustment.

Johnston noted that China has great advantage in the large-scale mass production, but it is mainly labour intensive rather than scientific intensive. And now a large group of floating population exists in China. Therefore, China should accelerate the progress of industralization and urbanization.

By People's Daily Online