CiCM 25th March 2023

NEWS IN CHINA

China Denounces Indian Foreign Minister's Claims on Arunachal Pradesh: In a recent press conference, China's Foreign Ministry spokesperson Lin Jian reaffirmed China's position regarding the status of "Arunachal Pradesh." Lin Jian reiterated that the region, which India refers to as Arunachal Pradesh, is part of China's territory. He emphasized that before India's occupation, China had exercised administrative jurisdiction over southern Tibet, including the area in question. Lin Jian highlighted that in 1987, India's establishment of "Arunachal Pradesh" was vehemently opposed by China, which deemed the move illegal and invalid. This stance remains unchanged, according to Lin Jian. He further clarified that the China-India border has never been demarcated, and the eastern section of southern Tibet has always been under Chinese sovereignty. The remarks were in response to Indian Foreign Minister Subrahmanyam Jaishankar's recent assertion that Arunachal Pradesh is an integral part of India. The India Foreign Minister also suggested ongoing border negotiations between India and China would address this issue.
National Medical Insurance Bureau Defends Increased Premiums, Highlights Improved Services: China's National Medical Insurance Administration recently defended the significant increase in medical insurance fees, responding to concerns about declining participation rates among urban and rural residents. The per capita financing standard for residents' medical insurance has surged by 370 yuan over the past two decades, reaching 380 yuan. Despite this, the Bureau emphasized that the benefits of improved medical security services far outweigh the nominal fee hike. It cited enhancements in medical insurance services over the years, including an expanded range of reimbursable drugs, increased reimbursement ratios for hospitalization expenses, and improved service capabilities, such as direct settlement services for inter-provincial hospitalization expenses aimed to alleviate the medical burden on residents, with reimbursement ratios averaging around 70% for hospitalization expenses. They highlighted the establishment of outpatient medication guarantee mechanisms for conditions like hypertension and diabetes, benefiting millions of urban and rural residents. While some may question the necessity of medical insurance for healthy individuals, the Bureau stressed the importance of pooling resources to mitigate the financial risks associated with unforeseen medical emergencies, as modern lifestyles contribute to the rising prevalence of diseases among young adults. The Bureau urged against the misconception that only the elderly and children need medical insurance, emphasizing that young adults, who are the “backbone” of families, are also susceptible to health risks.
China's Central Bank Boosts Liquidity with Reverse Repos: China's central bank, the People's Bank of China, has injected liquidity into the banking system through reverse repurchase agreements (repos). On March 25, it conducted a 50-billion-yuan operation, followed by a more considerable 150-billion-yuan injection on March 26, both at an interest rate of 1.8 percent. This move aims to maintain the banking system's reasonable and sufficient liquidity levels. In a reverse repo, the central bank purchases securities from commercial banks through bidding, with a commitment to repurchase them later. The consecutive operations highlight the bank's efforts to manage liquidity effectively amidst evolving economic conditions, ensuring stability in China's financial markets.
World Bank President Lauds China's Sustainable Growth Model: During his recent visit to China, World Bank President Ajay Banga hailed China's significant role in fostering sustainable global growth. He emphasized China's pivotal contribution to sustainable development and highlighted the country's success in combating air pollution as a valuable lesson for other nations. Banga praised China's efforts in controlling air pollution, citing it as an exemplary model for achieving economic development while ensuring environmental quality and citizens' well-being. He commended China's proactive approach to addressing environmental challenges, including implementing measures supported by World Bank financing. During a meeting with Chinese Premier Li Qiang, Banga discussed strengthening collaboration on various fronts, including knowledge sharing, rural revitalization, and healthcare. Premier Li expressed China's commitment to deepening cooperation with the World Bank and supporting its reform agenda to enhance global development efforts. Banga underscored the importance of leveraging China's experiences and expertise to promote green and sustainable growth worldwide. He emphasized the necessity of international cooperation in tackling climate change and other global challenges, stressing the need for collective action beyond borders.
Former Chinese Official - Yi Pengfei Receives Life Sentence for Bribery and Abuse of Power: Yi Pengfei, former vice chairman of the Hunan Provincial Committee of the Chinese People's Political Consultative Conference, has been sentenced to life imprisonment for accepting bribes exceeding RMB 81.4 million and causing public property losses exceeding RMB 448 million. The Liuzhou Intermediate People's Court announced the verdict, stating that Yi Pengfei's actions constituted bribery and abuse of power, warranting severe punishment. Yi Pengfei abused his positions across various governmental roles from 2003 to 2023 to solicit bribes and provide unlawful favors in project contracting, business operations, and job promotions. Additionally, during his tenure as Secretary of the Chenzhou Municipal Party Committee, he violated land transfer regulations, leading to significant losses to public property. Despite Yi Pengfei's cooperation with authorities and the return of stolen assets, the court deemed his crimes severe, resulting in a life sentence for bribery and a five-year prison term for abuse of power. All personal property was confiscated, with proceeds from his crimes to be recovered and turned over to the national treasury.
Chinese Premier Strengthen Ties with Dominican Prime Minister: Chinese Premier Li Qiang and President Xi Jinping held separate talks with Prime Minister Roosevelt Skerrit of Dominica in Beijing, marking the 20th anniversary of diplomatic relations between China and Dominica. Premier Li emphasized the mutual respect and equality characterizing bilateral ties, highlighting progress in various sectors as the result of onboarding the “express train” of Chinese modernization. Premier Li pledged continued support for Dominica's sovereignty and development path, offering cooperation in infrastructure, agriculture, trade, and disaster prevention under the Belt and Road Initiative. President Xi echoed these sentiments, praising the friendship as a model of South-South cooperation and stressing China's commitment to mutual trust and support. Prime Minister Skerrit affirmed Dominica's unwavering adherence to the one-China policy and lauded China's global initiatives for promoting development and peace. Skerrit expressed readiness for closer ties, emphasizing Dominica's strategic partnership and support for China's international endeavors. The leaders witnessed the signing of several cooperation agreements, cementing ties between the two nations.

SOCIAL MEDIA CHATTER IN CHINA

Teacher Carries Narcoleptic Student Home for Two Years, Touches Hearts Online: In a heartwarming display of compassion, Xu Longjun, a teacher at Chongqing Dianjiang Secondary School in China, has been regularly carrying a narcoleptic student home on his back for the past two years. The teenage boy, identified as Yinyuan, suffers from narcolepsy, a rare medical condition causing excessive daytime sleepiness. Despite receiving hospital treatment, Yinyuan's condition only saw a slight improvement. Concerned about the boy's safety, Xu took it upon himself to ensure Yinyuan's well-being by carrying him home whenever he fell asleep in class. This act of kindness, captured by a surveillance camera, gained attention after being reported by local news outlets. It highlights Xu's dedication to his student's welfare as he carefully navigates stairs and walkways to transport Yinyuan, who weighs approximately 40kg, to his grandparents' care. Yinyuan's family expressed gratitude for Xu's support, emphasizing how his assistance enabled them to continue sending Yinyuan to school. Despite the challenges, Xu remains committed to helping his students and hopes for a cure for Yinyuan's sleep disorder. This touching story resonated widely, with online observers praising Xu's compassion and dedication.

INDIA WATCH

China’s Foreign Ministry Spokesperson’s recent remarks regarding Arunachal Pradesh have once again sparked wide ranging debate about the historicity of the region. While Beijing claims the region to be a part of its territory, India’s External Affairs Minister (EAM) S. Jaishankar recently reiterated India’s long-standing position on the claims laid down by its northern neighbor. During the EAM’s recent visit to Singapore for a speaking engagement at the Institute of South Asian Studies of the National University of Singapore, he affirmed Arunachal Pradesh as an integral part of India and stated that the Indian government has always remained consistent in rejecting China’s territorial claims to the region.

The to and fro from both the governments comes in light of Prime Minister Modi’s recent visit to the state of Arunachal Pradesh for the inauguration of the strategically important Sela Tunnel project estimated to be worth 825 crore rupees. The tunnel connects the road from Tezpur to Tawang in the state of Arunachal Pradesh and is situated at an altitude of 13,700 feet. With specific emphasis on infrastructure connectivity, the Indian government has focused on developing critical border regions for strategic and developmental purposes. The region also witnessed clashes between both the country’s armed forces in 2022, making the area strategically important. Despite ongoing border talks in the Ladakh region, New Delhi is keen to focus on the other half of its territorial dispute with Beijing in Arunachal as well, by developing key infrastructure in the region. The Chinese government on its part has consistently criticized Indian state officials visiting Arunachal Pradesh, however, with the region intertwined within India’s geographical and political proximity, Beijing’s claim seems to be reduced only to rhetoric.

Prepared By

Alisha Mehra

Alisha is a 2nd year student pursuing Development Studies with a minor in International Relations at IIT, Madras. Her interdisciplinary course offers her a unique perspective on Public Policy and Global Polity issues. She is passionate about China Studies, Economics and Climate and loves to explore the interconnections between the them.