In This Edition

 

The United States and Turkey call the Syrian regime to stop violent crackdown on anti-government protesters and carry out peaceful reforms.

 

Italy's parliament approves an austerity budget aimed at securing public finances and reassuring global markets on the country's financial solidity.

 

U.S. President Barack Obama urges lawmakers to avert a looming government default after five rounds of direct talks produced little progress.

 

Some 20 deals inked at the ongoing China-U.S. Governors Forum in Salt Lake City, which aims to advance sub-national cooperation between the two countries to promote mutual prosperity.

 

 

Hot Issue Reports

 

Libya's Opposition Grateful to Int'l Recognition of TNC

The head of Libya's opposition movement Mostafa Abd El Jalil has thanked the international community for their support in recognizing the legitimacy of the Transitional National Council, or TNC.

 

"On behalf of the Libyan people I would like to give my respect and show my gratitude to the international community for the result of the contact group's decision to support this revolution. The decision was firstly manifested in the individual recognition by the United States. We all know and appreciate the value of the recognition, which will be political and financial support to this revolution."

 

More than 30 nations, including the United States, formally acknowledged Libya's main opposition group as the country's legitimate government during a contact group meeting in Istanbul.

 

The 32-nation Contact Group on Libya which includes members of Nato, the European Union and the Arab League, also said the regime of Muammar Gaddafi no longer has any legitimacy in Libya and that Gaddafi must leave the country after ruling the North African nation for four decades.

 

The contact group's decision on full recognition of TNC has potentially freed up billions of dollars in cash that the rebels urgently need.

 

Analysts say diplomatic recognition of the TNC means the US will be able to fund the opposition with some of 30 billion plus US dollars in Gadhafi-regime assets that are frozen in American banks.

 

Responding to the statement, Libyan leader Muammar Gaddafi said on Friday that the group's recognition of the NTC does not represent the decision of the Libyan people, and he pledged to fight till the NATO forces were driven out of Libya.

 

Rebels, backed by NATO's air force bombings, control much of the country's eastern territory, and pockets in the west. Gadhafi still controls the rest from his stronghold in the capital of Tripoli.

 

US Calls for Peaceful Reforms in Syria

U.S. Secretary of State Hillary Clinton on Saturday criticized Syrian President Bashar al-Assad for his government's violent crackdown on anti-government protesters.

 

During a joint news conference with host Turkish Foreign Minister Ahmet Davutoglu, Clinton urged the government to dialogue with the opposition.

 

"Now Syria's future is up to the Syrian people but of course the efforts by the opposition to come together to organize to articulate an agenda are important parts of political reform. And we believe that every country should permit such organizing and the support of opposition, we think that makes for more accountable, more effective government."

 

Clinton denied that the US or any other foreign government had anything to do with organizing Syrian opposition groups.

 

Meanwhile, Davutoglu called for the Syrian regime to carry out peaceful reforms as fast as possible.

 

"We think that in Syria, reforms must be conducted in accordance with people's wishes and ideas, and without any violence. While they are making reforms there should not be any more killing of civilians."

 

Activists say the government's crackdown on dissent has killed some 1,600 people since March, most of them unarmed protesters.

 

Italian Parliament Approves 70-bln-euro Austerity Package

The lower house of Italy's parliament has approved an austerity budget worth over 70 billion euros, or some 98 billion U.S. dollars, aimed at securing public finances and reassuring global markets on the country's financial solidity.

 

The package, seen as crucial to keep the eurozone's third largest economy afloat in the lingering debt crisis, was passed in the House of Deputies Friday night.

 

Amid renewed fears for a spill-over of the debt crisis to Italy, the budget plan, a mix of spending cuts and tax measures, was approved in record time of just one week.

 

It aims to reach budget balance and cutting down Italy's elevated debt levels by 2014.

 

The opposition fears though, that that tensions in financial markets could spiral out of control.

 

Mayor of Turin and Democratic Party opposition parliamentarian Piero Fassino.

 

"We in the opposition have taken on our responsibility to ease through the approval for this budget quickly, even if we don't really agree with the contents of this package, In the next few months we will be working hard to ensure Italy has a political and economic system that is more efficient and in a better position to handle this crisis."

 

Passage of the budget came after Prime Minister Silvio Berlusconi's government won a vote of confidence in the House.

 

Obama Warns Republicans to Break Impasse on Debt Negotiations

U.S President Barack Obama urged U.S. lawmakers on Friday to avert a looming U.S. government default after five rounds of direct talks produced little progress.

 

Obama beseeched his Republican opponents to drop their resistance to higher taxes and agree to a large measure that would reduce deficits with spending cuts and heavier taxes on the wealthy. He said he has reluctantly agreed to spending cuts and reforms of popular but expensive entitlement programs and wants Republicans to make concessions as well.

 

"Show me a plan in terms of what you're doing in terms of debt and deficit reduction. If they show me a serious plan I'm ready to move even if it requires me to make some tough decisions. We're running out of time. That's the main concern that I have at this point."

 

Financial markets are starting to worry that Republicans and Democrats are too far apart ideologically to reach a major budget agreement by lifting America's $14 trillion US dollars debt limit before August 2.

 

Ratings agencies Moody's and Standard & Poor's have signaled they may cut the gold-plated credit rating of the U.S. if the borrowing limit is not raised and bills are not paid. The rating will be under pressure if negotiators cannot agree to long-term deficit reduction measures.

 

Experts say failure to seal a deal would cause turmoil in global financial markets and could force the United States into another recession.

 

Newly Appointed Commander of United States Forces Korea visits DMZ

General James Thurman, the new commander of U.S. Forces Korea, emphasized the importance of deterring any aggression on Friday during his first visit to the Demilitarized Zone that divides North and South Korea.

 

Thurman pledged to strengthen the alliance between the U.S. and South Korea at his inauguration ceremony earlier. He and his delegation looked over to the North from the Observation Post Oulette.

 

"I thought it was very important that I come up to the Demilitarized Zone and observe first hand the readiness levels and the training and the leadership of the ROK military and the U.S. participation. So I have a better understanding of the mission."

 

He also promised that the USFK would maintain stability and deter any provocations against the country, amid ongoing tensions between North and South.

 

"I think the other important thing is maintaining the armistice and maintaining stability and peace as a result of this very strong alliance -- and the importance of deterring aggression."

 

Tensions are high on the Korean peninsula after the sinking of a South Korean warship and the shelling of a South Korean island by the North. The two attacks killed about 50 South Koreans.

 

Both North and South Korea station about one million troops near their respective sides of the Demilitarized Zone, while about 30,000 U.S. troops are stationed in South Korea.

 

Blasts Hit Mumbai Bazzar Reopens

Zaveri Bazaar, one of the sites of the triple blasts that rocked western India's financial capital Mumbai on Friday, has reopened for business as the city continues to deal with the aftermath of the incident that killed 18 people and injured more than 100.

 

Anand Sharma, a local diamond merchant, says despite the significant loss of lives and property, business at the bazaar is returning to normal.

 

"Over the past days, you saw how the blast took place. People were shocked, and after that people were eager to know what had happened. So now people are here trying to understand what is the reason behind all this. I think now all will be back to business. Mumbai never stops."

 

Media reports say as many as 200,000 people directly or indirectly engaged in the jewelry business at Zaveri Bazaar have been affected by the blasts.

 

Swarms of locals walked through the mangled remains of shops and otherwise busy lanes near the diamond-trading hub as merchants unlocked their shops and tried to resume business.

 

Three blasts rocked crowded areas of Mumbai rush hour on Wednesday evening, killing 18 and injuring 131. It was one of the biggest militant attacks in Mumbai following the 2008 terrorist blasts which killed more than 160 people.

 

Following Wednesday's attack, all major cities across the country had been placed on high alert. No one has claimed responsibility for the blasts.

 

Thousands March to Support Palestinian Statehood

Thousands of left-wing activists marched in Jerusalem on Friday afternoon. Both Israelis and Palestinians joined the rally as the Palestinian Authority draws up its proposal to the UN for recognition as an independent state. Our Jerusalem correspondent Xiaoyu has the details.

 

It's one of the largest demonstrations of support for an independent Palestinian state during the past year or so. The march started from Jaffa Gate of the old city and ended in the Arab neighborhood of Sheikh Jarrah in East Jerusalem, along the border of east and west Jerusalem.

 

Israeli congresswoman Zehava Galon was among the demonstrators.

 

"We believe it is in Israeli interest to have a Palestinian state alongside Israel. It's important for us to call for an end to occupation, for a two-state-solution."

 

The Palestinian Authority is expected to hand in their proposal to the UN for recognition of statehood by Friday. The march attracted thousands of pro-Palestine activists from all over Israel. Nataly Hassian is an Arab girl from the Israeli city of Tel Aviv.

 

"As you can see, there are many Jewish people who agree to the idea and can live with the fact that there should be a Palestinian state. I have nothing against Jewish people. I have something against all those people who don't believe in Palestine and who don't think that Palestine should exist."

 

The enthusiasm of demonstrators was apparently unaffected by the current stalemate in peace talks and the general indifference among the public. A recent survey found that only one third of Palestinians accept the concept of a two-state-solution and the existence of Israel as a Jewish state.

 

For CRI, this is Xiaoyu from Jerusalem.

 

Obama Makes Call to ISS Astronauts

U.S. President Barack Obama took a moment away from his focus on the U.S. budget to make a very long-distance telephone call to astronauts working aboard the International Space Station on Friday.

 

The President praised the international cooperation shown aboard the ISS, where astronauts from the United States, Russia and Japan are working together.

 

"...I know there have been thousands who have poured their hearts and souls into America's space program over the past three decades who are following this journey with special interest. And to them and all the men and women of NASA, I want to say thank you. You helped our country lead the space age, and you continue to inspire us."

 

The United States is preparing to regroup its human spaceflight program, retiring its three-ship shuttle fleet upon Atlantis' return on July 21. The move is designed to free up funds to develop new vehicles that can travel beyond the space station, where the shuttles cannot go.

 

Germany to Support Mexico in Efforts to Curb Drug Violence

Germany has pledged to continue its cooperation with Mexico in the fight against drug violence and helping in the recovery of the economy following recession in the Latin American nation.

 

German Foreign Minister Guido Westerwelle has briefed the press on the joint efforts to combat drug trafficking with his Mexican counterpart Patricia Espinosa.

 

"We express support for the efforts being made by Mexico in the fight against drug trafficking and we are willing to offer assistance. We know that Mexico is waging its war by applying the rule of law, a strategy that will no doubt prove successful. We support this strategy because organised crime and drug trafficking can only be defeated by applying the state's laws."

 

Espinosa says relations between the two countries have never been stronger, with Germany having forged tight commercial and political relations with Mexico over the last decade.

 

"Germany is our main commercial source in Europe and has been so for the last ten years. Commercial exchanges include those within the automotive, pharmaceutical and electronic sectors but, without doubt, there are still many more ways in which we can support each other, with commercial materials and investment."

 

Both countries have also agreed to jointly promote reform of the global monetary system and the agenda for the next G20 summit in France this November, and next year during Mexico's presidency of the G20 group.

 

China-U.S. Governors Forum Held for Better Cooperation

At least 20 deals have been signed during the ongoing China-U.S. Governors Forum in Salt Lake City, which aims to advance subnational cooperation between the two countries to promote mutual prosperity.

 

During the first-ever forum, participants discussed ways to boost trade, investment, exchanges of new sources of energy, environmental protection cooperation and education exchanges.

 

Zhao Hongzhu, Secretary of the Communist Party of China Zhejiang Provincial Committee, called for local governments in both countries to be fair to foreign investors in accordance with the laws and enhance transparency.

 

"To strike a more balanced local trade relationship, we should adopt some comprehensive measures to promote free trade and investment as well as fight protectionism and export controls."

 

Iowa Governor Terry Branstad said he saw great business potential to develop wind power with China, because China and the U.S. combined consume 40 percent of the world's energy and are overly dependent on imported fuel.

 

"Iowa currently has the second-highest installed capacity for wind generation in the U.S. I understand there has been tremendous growth in China as well. Biofuels and wind energy are mutually important and beneficial areas for cooperation between our two countries, and we look forward to additional cooperation."

 

The forum is an outgrowth of talks between Chinese President Hu Jintao and President Barack Obama in January.

 

China, Iran Sign Trade & Energy Agreements

China and Iran have signed several agreements worth more than 4 billion U.S. dollars on infrastructure, trade and energy cooperation.

 

Under the agreements, Chinese companies will invest heavily in some major infrastructure projects in Iran, including a water diversion project and a dam. Chinese companies also will import large quantities of chrome ore and celestine from Iran.

 

Mohammad-Javad Mohammadiyan, Iran's Vice President and head of the country's Environmental Protection Agency, praised China as Iran's biggest business partner when he received a Chinese delegation in the capital Tehran.

 

"The volume of trade between the two countries hit 30 billion U.S. dollars last year, and China is now Iran's biggest and most important business partner."

　

Bilateral trade between China and Iran exceeded 29 billion U.S. dollars in 2010, more than 38 percent increase over the previous year.

 

China also has provided financial and technical support to some major infrastructure projects in Iran.

 

The Chinese delegation, led by He Guoqiang, a senior Communist Party of China official, is currently on a three-day official visit to Iran to celebrate the 40th anniversary of the establishment of Sino-Iranian diplomatic relations.

 

Gov't Has a Long Way to Go to Combat Illegal Land Seizures

 

Central Government authorities have started to combat illegal land seizures by local government officials. Statistics indicate that there were 23,000 such cases nationwide in the first half of the year, involving an area of more than 9,000 hectares, one-third of which was arable land.

 

An editorial in "China Daily" argues that government ministries should do more to rein in such rampant instances of illegal land seizure and occupation. It says most violations are committed by local government officials. And in doing so, they would rather risk administrative warnings or recorded demerits for their deeds. The reason for that is punishment is too lenient. In fact, of the 73 offenders only one was demoted.

 

The commentary says the current punishments for local government leaders who violated land use regulations fall short of the public's expectations, and a mechanism is needed to ensure that administrative or Party disciplinary penalties act as deterrents. For example, local officials who receive punishments should not be eligible for promotions for a certain time, and government officials who accumulate a number of demerits should be demoted or dismissed.

 

The commentary also suggests local government leaders should be charged with dereliction of duty if the illegal occupations of arable land are extremely serious or they are directly involved in them.

 

The commentary goes on to say that there is a long way to go to bring under control illegal activities involving the violation of land-use policies or rules, the sale of land use rights, the acquisition of land without a Central Government license and the illegal occupation of arable land.