‘Soft’ stimulus measures taken to achieve growth
The Chinese government has decided to take “soft” stimulus measures, including the renovation of rundown urban areas, railway construction and preferential tax policies for more small companies to support growth.
Premier Li Ke q i ang announced the measures on Wednesday at a State Council executive meeting.
The government said it will issue bonds worth 150 billion yuan ($24 billion) to finance railways construction this year. It also will establish a special institution under the China Development Bank to issue special bonds to finance government-subsidized housing projects.
The National Bureau of Statistics and the China Federation of Logistics and Purchasing reported that the non-manufacturing Purchasing Managers’ Index in March fell slightly to 54.4 from 55 in February, mainly because of a slowdown of growth in new orders.