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Home >> Business
UPDATED: 20:31, October 20, 2005
NE China province uses huge World Bank loans in urban development
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The World Bank has granted a 600 million US dollar loan for urban development in northeast China's Liaoning Province, an official with the bank has said.

The loan will be used to build urban infrastructure, covering traffic facilities, heating supply system, water supply and drainage, sewage and garbage disposal, flood control and the dredging of river courses.

The Liaoning program is a "special one" as it is carried out at a time when China is implementing its strategy of rejuvenating its northeast industrial rust belt, said Christian Delvoie, director general of the World Bank East Asia and Pacific Infrastructure Bureau, when attending a meeting for promotion of the program this week in Liaoning.

China applies for 1.2 billion to 1.5 billion US dollars in loans from the World Bank each year.

"The World Bank supports the Chinese government to rejuvenate its northeast industrial rust belt," said Christian, adding that a 600 million US dollar investment was not just a kind of normal capital input, but one with the purpose of promoting the rejuvenation of local economy in northeast China and improving Liaoning's economic competitiveness.

The Chinese government has applied for the Liaoning loan in October last year. China will provide 5 billion yuan (about 616 million US dollars) of supporting funds for the Liaoning program.

Liaoning is the third provincial-level region in China to use large World Bank loans in urban infrastructure construction. The other two regions are Shanghai metropolis and Guangdong Province in south China.

Source: Xinhua


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