private investment grew 7.5 percent year-on-year in the first two months of this year, 1.4 percentage points higher than overall investment and 2 percentage points higher than state-controlled investment, the national development and reform commission (ndrc) said recently. in the future, the ndrc said, it will further establish and improve the long-term mechanism for attracting private capital investment in key areas and guide private enterprises to participate in the construction of major national strategic projects.
with the implementation of a series of policies to encourage private investment and support private enterprises, private investment has maintained a good momentum of growth in 2018. the growth rate has always been above 8%, consistently higher than the overall investment growth rate. for the whole of 2018, private investment grew by 8.7 percent, 2.7 percentage points higher than in 2017 and 2.8 percentage points faster than overall investment.
the overall structure of private investment was also further optimized, with private investment in the manufacturing sector growing by 10.3 percent, 5.5 percentage points higher than in 2017. private investment in other key areas, such as railway transportation, computer communications and other electronic equipment manufacturing, and education, grew rapidly. however, in tibet, hunan, shaanxi, yunnan and other regions where private investment was previously inactive, the growth rate of private investment exceeded 20%.
since the beginning of 2019, policies to promote private investment have been strengthened, especially in promoting private enterprises to participate in the construction of major projects and increasing financial support. the national development and reform commission (ndrc) and other departments have issued a series of important policies, including guidelines on the development of modern metropolitan areas, suggestions on promoting high-quality development of the logistics industry, and the implementation of inclusive old-age care projects. one of the common points of these policies is to actively attract private investment to participate in the investment and construction of these projects.
it is not only the central government's policies that continuously increase the support for private capital, but also the local governments that continuously introduce policies and increase financial support for the development of private capital.
the capital will invest more than 120 billion yuan in key areas and weak links of the capital's economic and social development in 2019, and implement 100 infrastructure projects, 100 projects to improve people's livelihood and 100 high-tech and sophisticated industrial projects, beijing announced recently. nearly 90 billion yuan will come from social investment. tianjin has also introduced policies to accelerate the innovation of ppp investment and financing mode in major infrastructure construction projects of coordinated development of beijing, tianjin and hebei, covering public services such as energy, transportation, municipal engineering, environmental protection, medical and health care, old-age care and education.
to this, the expert inside course of study expresses, at present major infrastructure project investment already became the main field that introduces civilian investment. among them, private investment in the fields of transportation, information, water conservancy, environment and public facilities management has increased significantly, and participation has also been increasing. zhang yansheng, chief researcher at the china center for international economic exchanges, said china should unwaveringly guide, encourage and support the development of the private sector, and encourage private investment to enter more sectors by easing market access.
according to the ndrc, china will continue to increase efforts to support the development of private enterprises in 2019, pushing local governments to resolve a number of property rights disputes that are strongly reflected by enterprises and the public. we will establish and improve the mechanism for entrepreneurs to participate in policy-making related to enterprises, strive to build a new type of pro-qing relationship between government and business, and effectively implement policies to stimulate and protect entrepreneurship. at the same time, we will further increase financial support for private enterprises, encourage banks to issue medium - and long-term loans to private enterprises, expand the issuance scale of high-quality corporate bonds, study and promote the establishment of equity financing support tools for private enterprises, and solve the problem of difficult and expensive financing through multiple channels.
source: china financial information network