China's top planning authority announced on Saturday that a second batch of public investment projects, including flood control and disaster relief programmes, had been identified as part of a bond issuance and investment plan unveiled in October to help the economy.
With the newest tranche, China has already set aside more than 800 billion yuan ($140 billion) of its 1 trillion yuan ($140 billion) in additional government bond issuance for the fourth quarter as it concentrates on fiscal measures to prop up the ailing economy.
The National Development and Reform Commission (NDRC) announced on Saturday that it had identified 9,600 projects worth more than 560 billion yuan in planned investment. China's economy, the world's second-largest, is trying to find its footing in the aftermath of COVID-19 as officials battle with sluggish consumer demand, weak exports, declining foreign investment, and a worsening real estate crisis.
According to the state-run Xinhua news agency, the 1 trillion yuan in additional bond issuance will increase China's 2023 budget deficit ratio to about 3.8 per cent from 3 per cent.
"Construction of the projects will improve China's flood control system, emergency response mechanism, and disaster relief capabilities and better protect people's lives and property, so it is very significant," the National Development and Reform Commission stated.
The agency stated that it will work with other government agencies to ensure that funds are allocated quickly for investment and that high-quality standards are maintained in project building.
(With Reuters inputs)