China's fixed-asset investment in railway reached 561.2 billion yuan (about 79.42 billion U.S. dollars) during the first three quarters of 2024, marking a year-on-year growth of 10.3 percent, and offering solid support for the country's further economic recovery and growth, according to China's railway operator on Saturday.
Since the beginning of the year, the China State Railway Group has made full use of financial support policies for infrastructure investment, accelerating the construction of a modern railway infrastructure system. By the end of the third quarter, 1,820 kilometers of new railway lines had been completed, including 1,210 kilometers of high-speed rail.
Several new railway lines have already begun operation, including the Meizhou West-Longchuan West section of the Longyan-Longchuan high-speed railway and the Chongqing West-Yibin East section of the Chongqing-Kunming high-speed railway.
Key railway projects, such as the Hefei-Wuhan section of the Shanghai-Chongqing-Chengdu high-speed railway, Pingliang-Qingyang railway in northwest China's Gansu Province, Zhangzhou-Shantou railway, Wenshan-Mengzi railway in southwest China's Yunnan Province, the Nanjing North Railway Station, and the Wuping-Meizhou West section of the Longyan-Longchuan high-speed railway, have commenced construction.
Meanwhile, progress has continued on important railway construction projects, including the Xi'an-Yan'an high-speed railway, the Chongqing East-Qianjiang section of the Chongqing-Xiamen high-speed railway, and the middle line of Chengdu-Chongqing high-speed railway.
Looking ahead, the state railway operator plans to prioritize the opening and operation of additional railway projects, such as the Jingmen-Jingzhou high-speed railway in central China's Hubei Province, the Weifang-Yantai high-speed railway in east China's Shandong Province, the Shanghai-Suzhou-Huzhou high-speed railway in east China, to ensure high-quality completion of this year's railway construction targets.
China's railway fixed-asset investment hits 561 bln yuan in first three quarters
China will strengthen fiscal and financial coordination to amplify policy effectiveness, experts said as the draft central and local budgets for 2026 were unveiled on Friday at the ongoing fourth session of the 14th National People's Congress.
According to the draft central and local budgets for 2026, 1.3 trillion yuan (190 billion U.S. dollars) of ultra-long special treasury bonds will be issued to provide continued support for the implementation of major national strategies and security capacity-building in key areas and for large-scale equipment upgrades and consumer goods trade-in programs.
Ultra-long special treasury bonds totaling 800 billion yuan will be allocated to support the implementation of major national strategies and security capacity-building in key areas, and 250 billion yuan in ultra-long special treasury bonds will be earmarked for consumer goods trade-in programs.
The country will refine these programs in terms of their scope and subsidy standards, and continue to support the scrapping and replacement of automobiles, home appliance trade-in schemes, and purchases of new digital and smart products.
China will also set up a 100-billion-yuan fiscal-financial coordination fund to boost domestic demand. The fund will support consumption and private investment through loan interest subsidies, financing guarantee, and risk compensation.
"Fiscal and monetary policies are the two major macroeconomic tools for macro-control, and their coordination is crucial. For instance, fiscal funds primarily serve as a guiding role, while financial institutions provide the capital. When fiscal guidance and financial resources are combined, the synergistic effect creates a result greater than the sum of its parts," said Yang Zhiyong, director of the Chinese Academy of Fiscal Sciences.
"By leveraging interest subsidies, we can mobilize substantial credit from financial institutions, thereby naturally stimulating consumption. The Ministry of Finance, in collaboration with the People's Bank of China, has introduced highly innovative measures, such as providing guarantees for the issuance of corporate bonds by small and medium-sized enterprises (SMEs), and compensating investors for losses. I believe the leveraging effect, making minimal efforts for maximum results, will become even more potent," said Yao Dongmin, director of the Center for China Fiscal Development under the Central University of Finance and Economics.
China's top legislature opened its annual session on Thursday morning at the Great Hall of the People in Beijing, with Chinese President Xi Jinping and other Party and state leaders attending the opening meeting alongside more than 2,700 NPC deputies. This year's NPC session is scheduled to run till March 12.
China to strengthen fiscal, financial coordination to amplify policy effectiveness: experts
