China investment in railways increased by 25.7%

The Sinhua news agency reports that during the first two months of the year, investment in the main capital of China railways increased by 25.7% in the annual calculus to CNY 37630 million (about $ 6 billion). According to information provided by the Ministry of Railways, a significant growth was also noted compared to January. During February, investments in the railway infrastructure increased by 20.9% to CNY 25140 million.

In 2013, China plans CNY 650 billion investments in the main assets in this sector. At the All -Chinese Assembly of People's Representatives, the parliament adopted a permutation plan in the office of ministers, which included the dismantling of the Ministry of Railways (Mor). These measures were taken in order to reduce bureaucracy and increase the efficiency of railway services. After restructuring, the Ministry of Transport will oversee state railways, and perform administrative functions of a non -existent Mor.

In China, the railway corporation will work as a commercial enterprise. At the same time, his actions will be concentrated on sending railway transport, freight and passenger transportation, business management and railway construction. At the same time, huge debts of the ministries incurred in recent years add problems.

According to official figures, the debts of the Ministry of Assets increased to 61.81% at the end of September 2012. Its total assets amounted to CNY 4300 billion (USD 685 300 million) while its debts amounted to 2660 billion CNY. In response to existing doubts, the Minister of Railways Sheng Guangzu promised to properly resolve issues with debts. The possibility of participation of private capital and foreign funds in company projects aimed to increase public welfare is not excluded.