In China, which is stepping up infrastructure investment to boost the slowing economy, the National Development Bank plans to implement astronomical infrastructure loans to local governments.
According to the media, China’s policy bank, the National Development Bank, announced the previous day that it plans to provide a total of 360 billion yuan to 800 infrastructure projects led by local governments across the country.
Without mentioning the period, the National Development Bank said it will implement such huge infrastructure loans in a way that prioritizes the demand of large provinces.
China’s State Council said last month that it would seek additional economic stimulus measures, including increased funding for infrastructure projects.
The National Development Bank explained that it will preferentially finance infrastructure projects in important regions that can begin construction as early as possible in the third quarter of July and September.
The infrastructure investment included 1.985 billion yuan in railway construction projects linking Guangzhou Baiyun International Airport and cities around Guangzhou, and 1 billion yuan in loans to irrigation projects in the Guangxi Autonomous Region.
The National Development Bank is said to have already injected 150 billion yuan into 421 projects since the State Council meeting last month.
Earlier, China’s largest economic city, Shanghai, announced on the 20th that it will invest 1.8 trillion yuan in large-scale infrastructure construction plans in the jurisdiction as part of stimulus measures to cope with the economic slowdown.
The infrastructure projects promoted by Shanghai include transportation hubs in Pudong, urban railways and housing improvements, offshore wind power demonstration projects, and natural parks.