BEIJING (Reuters) – China’s cabinet on Friday approved guidelines for improving the building of public infrastructure for both normal and emergency use in megacities, state radio reported, part of efforts to support the economy and cope with future public health crises.
The move is an important step to coordinate development and security and promote the high-quality development of cities, the state media said, citing discussions at a cabinet meeting chaired by Premier Li Qiang.
Such an infrastructure campaign was mentioned during April’s Politburo meeting. The country’s top economic planner also said in April that China would build hotels, makeshift hospitals and emergency medical service sites for both normal and emergency use.
The world’s second-largest economy staged better-than-expected growth in the first quarter after its COVID reopening but the momentum of economic recovery weakened in the second quarter.
The Chinese government has promised to prioritise a consumption recovery this year, but has so far not delivered large-scale subsidies for consumers, while local authorities still invest heavily in infrastructure projects to spur growth.
Idle and inefficient resources in cities should be actively tapped and public infrastructure for both normal and emergency use should be built as needed, the state radio reported.
China will encourage and attract more private investment in the construction, renovation and maintenance of such infrastructure, the report added.
“China’s economy is in a pivotal period of recovery and industrial upgrading,” the state media said, adding the country needs to strengthen power supply during peak hours.
Coal and power supply should be strengthened and their prices should be stabilised, the state radio reported.
(Reporting by Ellen Zhang, Kevin Yao and Ella Cao, editing by Christina Fincher, William Maclean)
