Posted 2/22/2024, 12:30:17 PM
China's Infrastructure Push Struggles to Deliver Economic Boost
- China is relying on infrastructure investment to boost economic growth, but recent data suggests these projects may not be delivering expected results
- Beijing is telling local officials to support technological innovation, but infrastructure still appears to be the main investment focus
- Massive budgets are being allocated for roads, bridges, and other projects in provinces like Guangdong
- Private investment in strategic industries remains low compared to government-led mega projects
- There are conflicting economic pressures between boosting growth via investment and avoiding increased debt burdens