Chinese local governments announced 7 tln yuan investment plan within 50 days
Amidst China’s deteriorating economic slowdown, local governments across the country is piling up a series of massive stimulus plans, in an effort to boost regional industry developments. According to the official China Securities News report today, local regulators have published various investment plans with a total value of 7 trillion yuan since July of this year.
Markets experts indicated China is embracing a new round of investment stimulus wave initiated by local authorities. On August 20, Guangdong province government carried out an investment scheme centering to optimize its advantages of ocean resources and strive to build leading province oriented by ocean economy. The local regulator offered 177 key projects, with a combined investment value over trillion yuan.
Meantime, Chongqing municipality implemented the stimulus plan regarding the boost of major industries, and dedicated to invest accumulated 1.5 trillion yuan during the12th five-year plan period.
Previously, our 21st Century Business Herald reported that Guizhou province planned to initiate a 3 trillion yuan investment in the area of ecosystem traveling within ten years.
Heilongjiang province held a news conference on August 13 and published a slew of measures designated to shore up production of enterprises, encourage companies to widen market channels, mitigate enterprises’ cash strain and lessen enterprises burdens.
In fact, regional development schemes flourish not only in the level of provincial governments. Under the background to stabilize economic growth, municipalities also joined in and released multiple investment plans. For some regions, which didn’t publish any government documents in the matter of stimulus, also unveiled key investment projects.
Experts showed concerns about the new round of local stimulus packages, believing it will not favor the economic restructuring, and fail to improve prospective economic growth. Others, on the contrary, hold the opinions that new bout of investment feast will differ from that of 2008’s 4 trillion, and investment efficiency is supposed to be strengthened.
