'One Belt, One Road' likely to raise China's GDP

Updated: 2015-03-25 16:51

By Wang Jingjing(chinadaily.com.cn)

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New investment to the infrastructures involved in China's "One Belt and One Road" initiatives are expected to reach around 400 billion yuan this year, possibly boosting China's gross domestic product (GDP) growth by 0.25 percentage point, according to a securities report published on Sunday.

The research report, released by Minsheng Securities, speculates that the Belt and Road strategies will cover 4.4 billion populations from 26 countries and regions and the economic effect is valued at $21 trillion.

The Report points out provincial infrastructure investment in China has totaled to 1.04 trillion yuan ($106 billion) for 2015. Most of the investment goes towards railway, highway and airport construction projects.

Overseas projects investments could reach $52.47 billion, covering areas and regions in Central and South Asia. These funds mostly go towards to energy, railway and highway infrastructures.

"One Belt and One Road" refers to the China-lead Silk Road Economic Belt and 21st Maritime Silk Road, which aim to strengthen China's relations with other countries and regions.

At this year's National People's Congress and the Chinese People's Political Consultative Conference from March 3 to 15, China set the 2015 GDP growth target at 7 percent. The annual government work report also stated that China will work with relevant countries in developing "One Belt and One Road" plans.

The report expects disinflation to be reversed in the second half of this year, as the initiative rolls out.

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'One Belt One Road' headed for critical juncture By Mu Chen and Zhong Nan of chinadaily.com.cn

The Silk Road Economic Belt and 21st Century Maritime Silk Road initiative will reach a critical stage of implementation with over 50 countries already expressing interest in taking part this year, China's Minister of Commerce said on Saturday.

Minister Gao Hucheng said China has already held a lot of discussions with countries along the routes over various projects, some of which are in the process of implementation, others still being planned.

"I believe that 2015 will provide the development of the 'One Belt One Road' initiative with a great start," said Gao.

The minister said that although the "One Belt One Road" is an initiative primarily raised by China, it is fundamentally open and inclusive in nature.

"Any interested countries, regions and regional organizations can take part following the principles of consultation and co-development," he said.

In November last year, China pledged $40 billion to set up a Silk Road fund to improve connectivity across Asia by investing in infrastructure, resources and industrial and financial cooperation, among other projects.