China is planning to raise up to 600 billion yuan (US$96.69 billion) this year and next for a railway development fund, Economic Information Daily reported Thursday, citing unnamed official sources. About 400 billion yuan is expected to come from private capital, including 150 billion yuan in bonds. The fundraising is in addition to similar efforts using other financing channels, the report said. Private investors will be under a 15-year lock-up at a rate of return of less than 6 percent, a source was quoted as saying. Also, they will enjoy preferential taxes.
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