China has announced that it is to heavily invest in infrastructure projects to give its economy a much needed boost.
The government has provisionally approved various development programmes that amount to a trillion yuan (approximately £99 billion). Stock markets across Asia responded positively to the news.
In total, this amounts to around 60 major infrastructure projects, including waterway construction, laying down new highways and pumping money into urban rail projects.
“Apart from the large sizes of the projects, the announcements were all made in two days, which is very intense,” commented Zhang Zhiwei, a Hong Kong-based economist. “It signals a change in policy stance, which is now much more proactive.”
The news will be of interest to professionals who may have been apprehensive about moving to China in the foreseeable future, as economic growth has been gradually slowing down.
China’s president has been honest about the pressure the country is facing in light of a slowdown in exports, which is putting a downward pressure on its economy.
Speaking at the Asia-Pacific Economic Cooperation CEO Summit in Vladivostok, Russia, he said that small to medium businesses were facing a particularly tough time.
Cadogan Tate helps professionals move their belongings overseas with international shipping.