Select Language:
China’s fixed-asset investment grew by 1.7% compared to last year during the first quarter, reversing a 3.8% decline experienced throughout the previous year. This turnaround reflects increased government efforts to bolster key industries and private sector investment.
This positive development stands out as a significant milestone for the country’s economy this year, according to Wang Changlin, deputy director of the National Development and Reform Commission. The government intends to intensify efforts to stabilize investment, especially in high-growth sectors like the digital economy, artificial intelligence, and commercial aerospace, while also introducing new policies to promote private investment.
To expand effective investment, a series of initiatives will be launched, focusing on infrastructure projects such as AI+ smart infrastructure, urban renewal, the national water network, and renewable energy systems. These measures are designed to optimize supply structures and boost domestic demand, said Wang during a recent press conference, responding to questions about economic strategy.
The rebound in the first quarter was driven by accelerated policy implementation supporting investments and faster deployment of measures to encourage private capital. Notably, investment in machinery and equipment increased by 13.9%, driven by upgrades in large-scale machinery. Private enterprises also ramped up their involvement in major projects across transportation, energy, and water management sectors. Excluding real estate development, private investments saw a 1.3% increase.
Emerging sectors saw a notable rise in investment as regions focused on developing “new quality productive forces,” tailored to local needs. In the first quarter, investment in high-tech industries rose by 7.4%, with high-tech services increasing by 12.3%. Within these segments, investment in professional technical services grew by 29.5%, and information services surged by 20.9%.
Additionally, advancing large-scale projects played a crucial role in stabilizing the investment landscape. Projects with planned expenditures of at least CNY100 million (roughly USD14.6 million) experienced a 4.5% increase. Growth in railway and energy projects helped push overall infrastructure investment up by 8.9%. Investment specifically in the aviation sector and water transportation showed remarkable increases of 43.3% and 34.1%, respectively.
ChatGPT
Perplexity
Gemini AI
Grok AI
