BEIJING, Feb. 3 (Xinhua) -- China's central
government has launched a new stimulus plan totaling 130 billion yuan (19
billion U.S. dollars) to boost its economy, an official of the National
Development and Reform Commission (NDRC) said on Tuesday.
The fund is the second batch of investment from the
central budget following a 100 billion yuan allocated in the fourth quarter of
2008. Both were included in the country's 4 trillion yuan economic stimulus
package announced in November.
Chinese Premier Wen Jiabao said Tuesday the 130
billion yuan had been put in place in terms of real funds and on what projects
the money will be spent during an interview with the London-based Financial
China's economic growth slowed to 6.8 percent in the
fourth quarter of 2008, dragging down the annual rate to a seven-year low of 9
percent, as the global financial crisis takes a toll on the national economy.
The government is hoping to bolster the slowing
economy with huge investment from central government, followed by more from
local governments and non-governmental sectors.
The NDRC official, who spoke to Xinhua Tuesday
morning on condition of anonymity, confirmed the latest 130 billion yuan
investment, but declined to unveil detailed plans of the investment before the
commission's official announcement.
However, Tuesday morning's 21st Century Business
Herald rolled out specific plans with 28 billion yuan to provide housing for
low-income earners and 31.5 billion yuan for public facilities, such as
electricity, water and road construction in rural areas, citing an unidentified
The paper also said 17 billion yuan would go to
health and education sectors, 11 billion to environmental protection projects,
15 billion to economic restructuring, and the remaining 27.5 billion yuan to
unspecified big infrastructure projects.
Of the earlier 100 billion yuan, 10 billion yuan will
be spent on housing projects for low-income families, 34 billion on rural
infrastructure projects, 25 billion on large infrastructure projects such as
railways, roads and airports, 13 billion on grassroots health, education and
cultural projects, 12 billion on energy conservation and environment protection
projects, and the remaining 6 billion on innovation and industrial
restructuring, according to the NDRC.
The commission, or the country's economic planner,
said in November that 1.18 trillion yuan would be arranged for investment from
the central budget by the end of 2010, which it said would mobilize a total of 4
trillion yuan in investment across the country within two years.
BEIJING, Feb. 3 (Xinhua) -- Chinese shares went up 2.44 percent on Tuesday
amid a booming confidence. Investors expected a market rally after Premier Wen
Jiabao repeated vows of more stimulus plans to boost the economy, dealers said.
The Shanghai A-share index rose 49.12 points, or 2.44 percent, to close at
2,060.81, while the Shenzhen Component Index gained 178.8 points, or 2.52
percent, to finish at 7,266.41. Full story
SHANGHAI, Jan. 28 (Xinhua) -- Due to bigger-than expected cut in fuel prices
at the end of 2008 and halved car purchase taxes in effect just before the Lunar
New Year, China's auto industry can expect the policy stimulus to make the year
of the ox a bullish one for sales growth, which was in a ten-year low in 2008.
"With the recent policy changes on fuel price, car purchase tax and fees, I
can save more than 8,000 yuan (1,170 U.S. dollars) to have a car," said Wang
Yong, who just bought a new POLO sedan produced by Shanghai Volkswagen Co. Ltd.
Sun Weishan, vice secretary-general of CPCIA, told Xinhua, "The draft of this
stimulus package hasn't been completed or examined by expert panels and it will
be submitted to the State Council for approval later." Full story
BEIJING, Dec. 19 (Xinhua) -- China must take more powerful and effective
policies to support industrial development, the country's vice premier Zhang
Dejiang said at a work meeting concerning national industry and information
technology on Friday.
"A stable and rapid industrial development is essential to the country's
overall economic advance," Zhang said. Full story