China’s investment in factories, real estate and other urban assets rose 25.7 percent in the first three quarters of this year from the same period last year, a central bank official said Sunday, despite curbs meant to prevent runaway spending.
The government is trying to rein in investment in real estate and industries including autos and textiles to control soaring housing prices and head off overspending that Chinese leaders worry could ignite a financial crisis. But the flood of money pouring in from China’s exports has made it difficult to contain investment.
Wu Xiaoling, vice governor of the People’s Bank of China, said the investment growth rate was still very high. [Full Text]