Earthquake in China to slightly influence GDP growth - Chinese State Committee

Almaty. June 2. Kazakhstan Today - Earthquake in China, May 12, will negatively affect GDP growth, however this influence will be limited. Vice chairman of the State Committee of the Peoples Republic of China for Development and Reforms Mu Hun informed on Wednesday, the agency reports referring to News Agency Xinhua.

"The northern areas of Sichuan Province have been seriously affected by the earthquake. Despite of powerful influence of the act of nature on economy of Sichuan, relative density of which in the country's GDP makes only about 4 %, therefore, negative influence of the earthquake on GDP growth of China is insignificant," Mu Hun said.

According to the Assistant to Responsible Secretary of the State Committee of the Peoples Republic of China for Development and Reforms, the areas suffered from the earthquake of Sichuan Province occupy an insignificant part of the total amount of consumption of energy carriers in China, therefore, satisfaction of their needs for energy carriers will not render any serious influence on energy supply of the whole country.

As for intentions of China to temporarily increase import of oil products, Mu Hun specified that now dependence of China on import of oil is rather high and totals 47 %. "Taking into account high international prices for oil, it would be unreasonable to expand import of oil products," he emphasized.

According to Mu Hun, central grain reserves of China are sufficient. "Therefore, transfer of them to the areas suffered from the earthquake of Sichuan Province will not seriously influence the situation in maintenance of country's food production."

In his turn, according to Xinhua, the earthquake on May 12 caused to the industry of tourism of Sichuan Province unprecedented damage. According to the chairman of provincial Tourism Department Chan Gu, at present damage has reached 62.4 billion yuan (nearly $9 billion) that is equal to almost half of income of tourism in the province for the last year.

Sichuan - a province with the greatest in the country number of tourist zones of the state level and the monuments of culture entered in the World Heritage list. As a result of the earthquake, 568 out of more than 4000 tourist zones have been damaged, including the monument of the world cultural heritage - the ancient irrigational system Dujiangyan created in 256 year B.C. Many ancient constructions there have been destroyed.

According to Xinhua, now in connection with the destructions caused by the earthquake and significant threat of repeated tremors tourist trips to Sichuan are completely forbidden. After completion of salvation operations the government of the province plans to begin development of the project of restoration of tourist zones.

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