Financial support to boost China’s economic recovery in Q4: NDRC

Construction of a railway in east China’s Jiangsu Province on September 6, 2022. /CFP

Construction of a railway in east China’s Jiangsu Province on September 6, 2022. /CFP

China’s economic recovery could gain momentum in the fourth quarter of the year as financial support for major projects progresses concretely, the country’s top economic planner said on Wednesday.

To increase financial support, China’s State Council rolled out policy-backed and development-oriented financial instruments for specific projects in late July.

“Financial instrument funds of 739.9 billion yuan ($104.5 billion) have been channeled so far, accelerating concrete progress as most of the supported projects have started construction,” said Meng Wei, National Development and Reform Commission (NDRC) spokesperson at a press conference.

Financial instruments played a positive role in stabilizing investment, with China’s fixed asset investment up 5.8% in October and infrastructure investment up 8.7% for the month despite a drop in investment real estate. Manufacturing investment rose steadily to 9.7 percent, Meng said.

In the first 10 months of the year, the NDRC approved the investment of 1.4 trillion yuan in 97 capital investment projects, mainly in the power, transportation and water conservation sectors. ‘water.

The NDRC pledged to strengthen policy support for private investment, noting that private investment grew only 2% in the first three quarters as it was disrupted by sporadic outbreaks of COVID- 19 and the rapid movements of geopolitics.

Earlier this month, the NDRC released 21 policy guidelines for localities and departments across the country to vigorously support the development of private investment.

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