US Politics: Compromising on the Federal Government's Debt

A few weeks ago it appeared that Republicans were prepared to use the need for increasing the debt limit to push through some of the controversial measures included in their 2012 Budget Resolution, notably the plan proposed by Rep. Paul Ryan (R-Wisc) to change the Medicare programme for future beneficiaries and/or a Balanced Budget Amendment that would require sharp and immediate reductions in government spending.

These options are not totally off the table, especially with the pressures being exerted within Republican ranks by new members of Congress keen to assuage their Tea Party constituencies, but the overwhelming message that emerged from participants after the Biden talks is the urgent need for compromise before the debt limit vote.

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China Economy Weekly: Economic Restructuring; Interest Rates Rise Amidst Inflation Worries

China Restructuring Economy:  China is seeking breakthroughs in economic restructuring while maintaining stable and relatively fast economic growth, the central committee of the ruling Communist Party of China (CPC) said on Monday.

"China will further boost people's incomes, enhance social construction and deepen reform and opening-up," said the Party's communique. This would facilitate "substantial progress in transforming the economic development pattern, and markedly promote China's comprehensive national strength, international competitiveness and better shield against risks.

China's Goal for New Strategic Industries: Beijing has announced plans to develop new strategic industries, saying their value-added output of would account for 8% of the country's gross domestic product (GDP) by 2015 and 15% by 2020.

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The Latest from Iran (30 September): Rights First?

1600 GMT: Execution Watch. A diplomat tips off a change?

The Iranian Ambassador in Rome, Seyed Mohammad Ali Hossein, has told Italy's main news agency that Tehran is likely to abolish stoning very soon.

Hossein added that the majority of the members of Parliament favour abolition, saying, and "penal law is subject to continous updating required by a changing society".

Hossein emphasised that the possible abolition of has nothing to do "with political and media pressure from abroad".

0640 GMT: Currency Watch. Thomas Erdbrink of The Washington Post has just contacted us to say his article is now posted on the current situation over the Iranian toman.

Money exchangers are still waiting to see if Iran's Central Bank will sell any dollars. The move was reportedly going to be made to protect against a sudden drop in the value of the Iranian currency.

0630 GMT: Nuclear Delay. Iran is reportedly delaying the opening of its Bushehr nuclear plant, scheduled for October, for three months.

The reason is unknown, but Iranian authorities have denied it is connnected with the rumoured cyber-attack of the Stuxnet worm.

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