More than 10 provinces, including Fujian, Hubei, Anhui and the Inner Mongolia Autonomous Region, plan to reduce transport investments this year compared to 2013 levels, reversing the trend of high growth of such investment in the past few years, Economic Information Daily reported Friday. Fujian’s planned investment this year is 70 billion yuan (US$11.56 billion), down from the 2013 figure of 83.3 billion yuan, while Hubei is cutting it to 70 billion yuan from 93.8 billion yuan, the report said. Some experts attribute the lower spending to the fact that local governments’ performance review by central authorities is no longer based on GDP, it said. Meanwhile, heavy debt burden is also making it harder for local governments to secure financing for construction projects, the report added.
– Contact HKEJ [email protected]