China has started the construction of 14 railway lines with a combined investment of 300 billion yuan (US$48.78 billion) in a bid to achieve its full-year target, China Business News reported Thursday.
More than half of the new projects are in the central and western regions, including a line linking Ejina in northern China’s Inner Mongolia and Hami in Xinjiang in the northwest, the report said.
China aims to invest more than 800 billion yuan in railway projects this year, but so far less than half have been completed.
Local governments have stepped up infrastructure investments following calls by the central leadership to help boost economic growth.
Land sales, bond issuance and private capital are the three major financing tools for local governments, which are currently experiencing tight liquidity to implement their projects.
A proposed rail investment fund is still under study, the report said.
– Contact us at [email protected]