Business News:
Shanghai, Dec 23 (Reuters) – China’s National Development and Reform Commission (NDRC) revealed on Saturday the identification of a second batch of public investment projects, part of a bond issuance and investment plan introduced in October to bolster the country’s economy. These projects encompass initiatives related to flood control, emergency response, and disaster relief.
With this latest announcement, China has committed over 800 billion yuan of the 1 trillion yuan ($140 billion) in additional government bond issuance for the fourth quarter. This move underscores China’s focus on fiscal measures to support its economy, which is facing challenges such as subdued consumer demand, declining exports, reduced foreign investment, and an escalating real estate crisis.
In a statement issued on Saturday, the NDRC outlined plans for 9,600 projects with a combined investment exceeding 560 billion yuan. The additional bond issuance is expected to increase China’s 2023 budget deficit ratio to around 3.8%, up from the previous 3%, according to the state-run Xinhua news agency.
The NDRC emphasized the significance of these projects, stating that they will enhance China’s flood control infrastructure, emergency response capabilities, and disaster relief efforts, ultimately safeguarding lives and property. The agency pledged to collaborate with other government entities to ensure swift fund allocation and maintain high construction standards for these vital projects.
