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Urban fixed-asset investment to grow 23% in 2007

(AFX News )
Updated: 2007-04-02 14:38

China's urban fixed-asset investment is expected to grow by 23.0 percent this year, slower than the 24.5 percent expansion in 2006, the research arm of the country's economic planning agency said.

Related readings: Investment shows signs of recovery Urban fixed asset investment up Investment cools slightly in 2006 State-owned enterprises invest US$131b in fixed assets

In a report published on the official China Securities Journal, overall fixed-asset investment growth is likely to slow to 21 percent this year from 24 pct in 2006 due to tighter policies on credit and land, as well as a decline inforeign direct investmentbecause of a unified corporate income tax.

Investment in the manufacturing and real estate sectors are forecast to increase by about 27 percent and 25 percent, respectively, according to the report.

Investment in the transportation sector is expected to grow by about 29 percent, while investment in power is seen rising by 12 percent.