Employees assemble vehicles at an automobile plant in Weifang, Shandong province. (Photo by Wang Jilin/for China Daily)
China's investment in fixed assets will remain stable,with relatively rapid growth in manufacturing and real estate investment in 2019, the National Development and Reform Commission said on Tuesday.
Investment in the middle and high-end manufacturing and modern service industries will be the main driving force for growth of fixed-asset investment in 2019, according to a report on fixed-asset investment trends in 2018 and prospects for investment in 2019 by NDRC.
Infrastructure investment is expected to pick up slightly and grow at a moderate rate, becoming key for "stable investment", an assertion made on the basis of statistics from the National Investment Projects Online Approval and Supervision Platform.
Statistics from the platform show the number of proposed projects which have been approved, verified and filed, surged 15.5 percent year-on-year last year. Proposed projects in real estate development, manufacturing and infrastructure increased 32.8, 24 and 5.3 percent on a yearly basis in 2018.
The statistics are of great reference value, as all proposed projects in China will be applied, verified and filed on this platform. After certain processes, they will start operations to form a physical investment, said Wu Yaping, a researcher at the Investment Research Institute of the National Development and Reform Commission.
The data shows strong investment demand in infrastructure, manufacturing and real estate industries. With sound preparation since the second half of 2018, all projects are likely to start operation, indicating an optimistic investment situation in 2019, Wu said as reported by the 21st Century Business Herald.
Investment plays two roles in a country's economic development. On the one hand, it stabilizes economic growth on a total scale and on the other hand, it leads economic structure transitions to high-end manufacturing, said Hua Changchun, chief economist of Guotai Junan Securities.
The high-end manufacturing industry is expected to lead investment growth this year, and great potential lies in high-tech industrial projects such as integrated circuits, engines and artificial intelligence reducers, the report said.
In addition, mining, accommodation and catering, real estate, scientific research and technology services are also projected to be hot investment targets in 2019, the report said.
Investment growth in the central and western regions continued to take a leading role, compared to other parts of China. The number of proposed projects in central and western China surged 30.1 and 26.3 percent, and the number in eastern China increased 3.1 percent in 2018, according to the report.
NDRC projected central and western China's Shaanxi, Gansu, Henan, Hunan and Shanxi provinces and eastern China's Fujian and Zhejiang provinces will witness fast investment development leading regional investment growth.