BEIJING: China will invest 500 billion yuan ($80 billion) in 193 major domestic aviation projects this year, the country’s aviation regulator said, to meet growing demand from travelers and to bolster growth as the world’s second-largest economy slows.
The plan was outlined in prepared remarks to be delivered later on Wednesday by Li Jiaxiang, head of the Civil Aviation Administration of China, at an aviation forum in Beijing. The remarks did not specify details about the projects.
The announcement comes amid a wider effort by Beijing to increase overall infrastructure spending after economic growth slowed to a six-year low in the first quarter. The country’s state planner has so far in the first six months approved billions of dollars of railway and airport projects.
China’s aviation sector has grown rapidly in recent years, driven by demand from the country’s increasingly wealthy middle class. Outbound passenger volumes rose 39 percent year-on-year over the January-May period, Li said.
He added that Chinese airlines now fly 553 routes to 127 cities in 51 nations, and plan to add 83 more routes over the summer and autumn period.
