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Fixed investment soars in W China
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Fixed investment in western China reached 504.2 billion yuan (US$73.93 billion) in Q1 2009, up 46.2 percent compared with the same period in 2008, according to data published by the National Development and Reform Commission (NDRC) on May 4. Investment in the west was 18.1 percent above the national average, 24.6 percent above the eastern region, and 11.9 percent higher than the central region.

The NDRC said the 12 provinces of China's western region had benefitted from two rounds of central government investment in transportation, water and energy projects including hydropower.

Seventy percent of the country's water power is concentrated in southwest China's four provinces and the Tibet Autonomous Region. The region's rich mineral resources also attract major energy projects. "But it's difficult to say if the momentum will continue in the long term, as the central area usually outperforms the west," said Gao Guili, a senior official at the NDRC.

"Central and western regions are starting from a relatively low base so the effects of the central government's stimulus package will be more noticeable there," Gao pointed out.

For more information, please consult the Chinese coverage at:

http://www.china-cbn.com/s/n/000002/20090506/000000114603.shtml

(China.org.cn by Maverick Chen, May 6, 2009)

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