On October 8th, the State Council Information Office hosted a press conference to outline a series of incremental policies designed to bolster economic momentum and enhance structural optimization. Liu Susheng, Deputy Director of the National Development and Reform Commission (NDRC), highlighted the organization’s focus on key areas and crucial steps to promote effective investment, utilizing government funding as a guiding force while maximizing the involvement of private capital.

When asked about upcoming policies aimed at accelerating investment and increasing outputs from physical projects, Liu reiterated that the NDRC has been concentrating on critical sectors to boost effective investments this year, underscoring the importance of government investments while actively encouraging private sector contributions.

Liu pointed out that nearly 6 trillion yuan in government funding has been largely earmarked for specific projects, helping to expedite the realization of physical outputs. So far this year, the central budget has allocated 700 billion yuan, with a project initiation rate of 58%. Additionally, all 700 billion yuan designated in special government bonds for “dual heavy” construction has been directed toward projects, achieving a 50% initiation rate. As for local government special bonds aimed at project construction, by the end of September, 28.3 trillion yuan has been issued out of the 31.2 trillion yuan available, reflecting a 90% issuance rate, with 85% project initiation. Liu also noted that projects funded by the 1 trillion yuan in bonds issued for post-disaster recovery last year have all commenced, with 770 billion yuan of investments completed by the end of June.

Turning to private investment, Liu shared that since the start of the year, 1,635 significant projects have been introduced to private investors, resulting in 441 projects that have attracted a total private investment of 344.8 billion yuan. He emphasized substantial progress in private capital participation in major infrastructure endeavors like nuclear power and railways, with the first group of 189 national key private investment projects organized to address vital challenges, such as securing funding. A new mechanism for cooperation between the government and private capital has also been established, prioritizing user payments and the involvement of private enterprises in demonstration projects with a total investment of 141 billion yuan.

Looking ahead, Liu indicated that, in line with directives from the Political Bureau and State Council meetings, the NDRC will collaborate with relevant departments to align both new and existing policies to foster stable investment growth.

To begin with, they will expedite the early release of a project list for the “dual heavy” construction planned for 2025 and the central budget investment plan. Liu stated that this initiative aligns with the Central Committee’s significant policy directions concerning national strength and rejuvenation. The NDRC aims to maximize the issuance of special long-term bonds for “dual heavy” construction, ensuring impactful projects progress through necessary reserves and improving relevant policies for enhancing investment efficiency.

Furthermore, the NDRC plans to accelerate the implementation of 102 major projects outlined in the 14th Five-Year Plan, with a total of 5,100 specific projects—92% of which have already been initiated or completed. Liu stressed the need for stronger coordination, reinforced responsibilities, and enhanced financial support to ensure timely commencement and successful completion of the remaining 409 projects by the end of next year.

Next, there will be an emphasis on optimizing the use of local government special bonds. The goal is for local governments to issue the remaining 290 billion yuan in bonds by the end of October, while also pushing for quicker execution of projects that have already been funded. The NDRC aims to tackle existing challenges related to the issuance and management of local government bonds by exploring expanded support for capital projects and initiating pilot programs to streamline project approvals.

Additionally, there will be a focus on strengthening the overall management of government investment projects through real-time monitoring and on-site supervision to enhance project coordination and expedite construction.

Finally, the NDRC will continue to foster a healthy growth environment for private investment by improving mechanisms for private sector involvement in significant state projects. This includes promoting quality infrastructure projects in sectors like railways and energy, and facilitating the issuance of infrastructure REITs for eligible private investment opportunities.