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Zhu Rongji
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Policies tilted to poorer regions

Zhu Rongji

Central and western areas have enjoyed preferential treatment in Beijing's financial policy to help realise their 'enormous development potential' and minimise differences between regions.

Premier Zhu Rongji said when meeting NPC deputies from the northwestern Xinjiang region and Qinghai province that, of the increase in investment spending last year, more than 62 per cent went to central and western parts.

The semi-official China News Service quoted Mr Zhu as saying: 'Fixed-asset investments in the western region increased by 31 per cent last year, which was 14.9 per cent more than that in the eastern areas. This is unprecedented.' In addition to investing in hydrology, communications and environmental protection, Mr Zhu detailed other forms of state support to the remote regions, such as getting eastern provinces to establish joint and co-operative projects with western regions and opening up more areas for foreign investment.

Despite Beijing's 'tilted policy' for central and western provinces, Mr Zhu asked the beneficiaries to pay more attention to the principle of self-reliance.

The Premier also expressed hope for the regions to ensure quality in infrastructural construction.

While acknowledging the profound differences with the eastern region, Mr Zhu proposed the west explore and utilise its resources according to market demand, and remain positive.

He stressed 'unity among ethnic groups and the need to safeguard the social and political stability against any form of splittist activities'.

Earlier a Xinjiang deputy said there were 'enormous difficulties' in the cotton and petroleum industries, with large surpluses still stored from last year because of poor sales.

'Our enterprises have met with immense hardship when carrying out the central policy of rectifying the state-owned enterprises,' said Wang Chuanyou, political commissar of the paramilitary Xinjiang Production and Construction Corps.

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