From Bloomie:
China will invest more than 1 trillion yuan($163 billion) redeveloping shantytowns this year as the government promotes urbanization as an engine of growth, according to state broadcaster China Central Television.
The nation will redevelop shantytowns involving more than 4.75 million households this year, CCTV reported yesterday, citing the Ministry of Housing and Urban-Rural Development. China will promote fiscal and financial reforms that support urbanization, it said, citing a plan for 2014 to 2020 issued by the Communist Party of China and State Council.
..China will speed up the construction of railways, expressways and airports to support the rapid urbanization, Xinhua said in a separate report on the plan.
This is a lot of money, roughly half of what was rolled out in 2012 when the can was last kicked fiscally. The difficulty is in knowing whether it’s new spending or old. China has already ear-marked some $250 billion on public housing this year, roughly the same as last, so this may just a sub-component.
Sorry I can’t be more clear. There’s no market reaction that I can see.
