A renewed drumbeat for infrastructure, via Macquarie:
A recent Chinese State Council meeting held by Premier Li gave a more progrowth tone with a pledge to enforce more active fiscal policy in China. Infrastructure investment is mentioned as a key way to support the economy, policy banks are encouraged to increase credit support to investment projects, and state-owned enterprises are asked to step up investment in rural grid and telecommunication projects. Restrictions on private enterprises investment in infrastructure projects are said to be eased and approval process for regular investment project will be further simplified. The central government says it will have a “three year rolling investment plan” for infrastructure projects in order to ensure stable growth while continue their supply side reform.
Not enough here to change my view of looming slowdown. Kind of confirms it actually.
