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China Deploys First Funds from $112bn Infrastructure Financing Programme
China has begun deploying funds from an expanded policy-financing programme intended to stimulate investment and support strategic infrastructure and industrial projects
Key Takeaways
China has released the first 460 million yuan (US$68.5 million) under a major 2026 policy-financing programme.
The wider programme totals 800 billion yuan (about US$119 billion), up from 500 billion yuan in 2025.
Initial funding is supporting projects in transport infrastructure, battery manufacturing and high-end materials.
The programme is designed to attract additional private-sector and commercial-bank financing.
The move comes as China's economic growth and investment have weakened.
The China Development Bank has disbursed the first tranche to three projects, including transport infrastructure. The wider 800 billion yuan programme is structured to use policy financing to attract additional private and bank capital.
The initiative comes as China's economic growth slowed to 4.3% in the second quarter of 2026, its weakest quarterly pace in more than three years.
For the construction industry, the significance is the scale of capital being positioned to keep infrastructure and strategic industrial investment moving despite weaker economic conditions.
Source: Reuters, 3 September 2026.
