china to spend less on railways next year
Last Updated : GMT 10:30:02
Arab Today, arab today
Arab Today, arab today

China to spend less on railways next year

Arab Today, arab today

Arab Today, arab today China to spend less on railways next year

Beijing - Xinhua

China is to cut its spending on railway next year and, following the cut news, its railway shares downed in Hang Seng Index. The Railway Ministry plans to invest 500 billion yuan (79 billion US dollars) on fixed assets next year, including 400 billion yuan (63.2 billion US dollars) for railway construction, minister Sheng Guangzu said at an annual railway working conference Friday. The investment scale registers a slight decline from the total expenditure of 469 billion yuan this year and a marked decrease from over 700 billion yuan (111 billion US dollars) in 2010. Since the deadly crash between two high-speed trains in Wenzhou in July, this is the first time the government announced a clear-cut goal for future railway development. According to the official, the investment will be used to finish key projects, and some 6,366 kilometers of new lines will be put into service in 2012. Meanwhile, the money will also be used to kick off construction of major coal transport lines and projects that help complete a trunk railway network and are urgently needed for economic development, Sheng said. Sheng stressed that rapid railway development should be maintained, as it plays an important role in the country\'s social and economic development, especially in boosting domestic demand. He said railroad construction should be promoted scientifically and orderly next year, which is a severe challenge, and that there is still much to be done to collect sufficient funds for railway projects. Sheng admitted that it would be an arduous task to ensure quality and safety of railway projects amid massive ongoing construction. The ministry will increase efforts to raise money for railway construction and enhance management over its funding, he said. In response to Friday’s spending cut news, railway sectors registered lukewarm performance against a modest rally of Hang Seng Index. China Rail Group Ltd closed at HK dollars 2.59, down 1.15 percent. China Railway Construction Corp Ltd closed at HK dollars 4.47, down 0.22 percent. China South Locomotive & Rolling Stock Corp closed at HK dollars 5.16, down 0.58 percent. The benchmark Hang Seng index gained 250 points to 18629, up 1.37 percent. Linus Yip, strategist from First Shanghai Securities, said that the market once held high hopes for the railway sector when news broke out that the state will support the ministry with bond financing. “However, today’s number will obviously disappoint the market, and I don’t think the sector will perform well in the coming year,” Yip said on Friday. The ministry is reportedly 2 trillion yuan (316.12 billion US dollars) in debt. Because money from the government\'s stimulus plan worth 4 trillion yuan (about billion US dollars) dried up and the tightened monetary policy made it unable to get bank loans, the ministry suffered a shortage of funds in 2011. That led to the halting of more than 10,000 km of high-speed railway projects, including projects due to open this year being postponed to next year. Sheng said that efforts will be made to gain support from related government agencies, expand the scale of bonds it issued, and get more bank loans. The ministry will also make good use of all kinds of market tools and try to attract local government investment and private funds, he said.

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

china to spend less on railways next year china to spend less on railways next year

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

china to spend less on railways next year china to spend less on railways next year

 



Arab Today, arab today
Arab Today, arab today Jordanian woman reveals her project

GMT 00:46 2017 Saturday ,11 November

Jordanian woman reveals her project
Arab Today, arab today Japanese regulators raid Airbnb

GMT 00:44 2017 Monday ,20 November

Japanese regulators raid Airbnb
Arab Today, arab today Keep kids busy at Thanksgiving gatherings

GMT 11:14 2017 Friday ,10 November

Keep kids busy at Thanksgiving gatherings
Arab Today, arab today Saudi, Bahrain target Iran

GMT 00:48 2017 Monday ,20 November

Saudi, Bahrain target Iran
Arab Today, arab today Europe turns on Facebook, Google

GMT 02:26 2017 Monday ,20 November

Europe turns on Facebook, Google
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Australian academic's book pulled

GMT 15:20 2017 Monday ,13 November

Australian academic's book pulled
Arab Today, arab today May under Brexit pressure at EU reform summit

GMT 02:14 2017 Saturday ,18 November

May under Brexit pressure at EU reform summit
Arab Today, arab today Delhi half-marathon to go ahead

GMT 03:51 2017 Saturday ,18 November

Delhi half-marathon to go ahead
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today Driverless, electric future just round

GMT 02:45 2017 Monday ,20 November

Driverless, electric future just round
Arab Today, arab today Tesla unveils its all-electric semi truck

GMT 02:59 2017 Saturday ,18 November

Tesla unveils its all-electric semi truck
Arab Today, arab today Mona Abdel Ghany increased artistic activities

GMT 12:15 2017 Friday ,17 November

Mona Abdel Ghany increased artistic activities
Arab Today, arab today paObama climate envoy slams Trump's rejection

GMT 16:04 2017 Friday ,17 November

paObama climate envoy slams Trump's rejection

GMT 12:22 2017 Thursday ,16 November

Hanan Metawe denies apology for “Major Treason”

GMT 11:15 2017 Thursday ,16 November

Angola oil boss sacked by father's protege

GMT 18:41 2017 Friday ,20 October

Designer Aql Faqih aspires to innovation

GMT 11:38 2017 Wednesday ,15 November

Unloved vultures fight for their survival

GMT 11:49 2017 Thursday ,17 August

Egyptian artist presents new collection of designs

GMT 02:28 2017 Saturday ,18 November

Anti-drug operation nets 4 tonnes

GMT 01:34 2017 Friday ,17 November

Banyan Tree Phuket Takes Festive Season

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday