First, we promptly adjusted our work plan. The Chairperson's Council held a special session on May 22 to listen to the State Council's report on the earthquake. In order to focus on our work priorities and help the State Council concentrate on earthquake relief, the Chairperson's Council decided to adjust the work plan of the Standing Committee by putting deliberation of the State Council's report on earthquake relief and post-earthquake recovery and reconstruction and its proposed revisions of the central budget for 2008 on the agenda of the June meeting of the Standing Committee. It also decided to postpone deliberation of the 2007 central government final budget and the auditing report as well as the deliberation and approval of the final budget from the June meeting, where this is normally done, to the August meeting. In order to allow sufficient time to incorporate the useful lessons accumulated in carrying out earthquake relief, interim arrangements, and post-earthquake recovery and reconstruction into relevant laws, the Chairperson's Council decided to postpone the deliberation of the revised draft Law on Protecting Against and Mitigating Earthquake Disasters from June to October.

Second, we resolutely implemented the Party Central Committee's decision on collecting financial resources for earthquake relief. It was made clear at the Chairperson's Council meeting on May 22 that safeguarding the lives of people in the quake zone was paramount and that we needed to proceed from the actual earthquake relief situation in everything we did. It was proposed that the bulk of the central budget stabilization fund should be used to establish a fund for post-earthquake recovery and reconstruction in line with the principle of taking special measures in special situations. According to the proposal, the actual revenue and expenditures of the fund should be included in the central budget, which should be adjusted accordingly, and this plan should be submitted to the NPC Standing Committee for deliberation and approval in accordance with the law. According to the same proposal, before the plan to revise the budget was approved, the fund should be first financed through the central treasury to ensure timely allocation of funding for earthquake relief and post-earthquake recovery and reconstruction. In addition, the requirement was made that there should be strict auditing and oversight of the use of the funds, and it was suggested that any further funding required should be arranged in advance. At the meeting of the Standing Committee in June, we deliberated and approved the plan to revise the central budget for 2008, and reached agreement to establish a fund for post-earthquake recovery and reconstruction, thus providing funding guarantees for smooth progress in earthquake disaster relief and post-earthquake recovery and reconstruction. Another proposal was made that the relevant authorities should formulate a plan for post-earthquake recovery and reconstruction and specific measures for implementing it as soon as possible, clarify recovery and reconstruction policies, and adopt a variety of means to support reconstruction and help disaster victims to resume production.

Third, while throwing ourselves headlong into earthquake relief, we never lost sight of the importance of promoting economic and social development to ensure that the tasks for the whole year would be completed. The Standing Committee passed a special resolution on June 26 which positively appraised the remarkable achievements made in providing earthquake relief; fully endorsed the work of the State Council, local governments and all sectors of society; and called for continued efforts to do everything possible to rescue the injured, make appropriate arrangements for the disaster victims and effectively carry out post-earthquake recovery and reconstruction. During the meeting, members of the Standing Committee pointed out that the massive Wenchuan earthquake and the severe snow and ice storms in part of the south at the beginning of the year made it difficult to successfully carry out our economic work for the whole year. They added that when facing difficulties, it is even more important to follow the Central Committee's decisions and arrangements, provide earthquake relief while also promoting economic and social development, pay close attention to, promptly study and effectively solve the major problems arising in economic activity, and successfully provide earthquake relief and promote economic and social development. Standing Committee members also stressed the need to carefully prepare for the Beijing Olympics despite the disruptions to ensure it is a distinctive and high-level event.