China Allocates 755 Billion Yuan Central Investment to Aid Economy and Livelihoods

China’s top economic planning agency has essentially completed allocating this year’s 755 billion yuan central budget investment, according to official statements released on July 31. National Development and Reform Commission (NDRC) official Jiang Yi stated that the funds focus on combining physical asset construction with targeted support for public livelihoods. Key allocations include 39.5 billion yuan for work-relief programs employing 1.5 million workers and 750 million yuan for post-disaster flood recovery. Meanwhile, preliminary work and construction are advancing on major projects under national strategic plans.

The rapid deployment of the 755 billion yuan central budget investment underscores Beijing’s intent to front-load fiscal stimulus and generate tangible economic activity amid external uncertainties and structural adjustment. By pairing mega-infrastructure projects—such as new transit channels and airports—with direct labor-relief programs, policymakers are seeking to bridge macro-level economic stabilization with micro-level income support for lower-income rural and displaced workers.

China’s central government has virtually completed the allocation of its planned 755 billion yuan central budget investment for the year, state media reported on July 31. Speaking at an NDRC press conference, policy research director and spokesperson Jiang Yi stated that fiscal allocations have prioritized a dual approach: combining physical infrastructure development with targeted social investments to support public livelihoods. A substantial portion of the central funds has been directed toward grassroots relief and emergency response. According to reports from Xinhua and People's Daily, the NDRC allocated 39.5 billion yuan to implement over 7,800 work-relief projects nationwide. These employment initiatives are designed to hire around 1.5 million local workers, providing an estimated average income gain exceeding 10,000 yuan per participant. To address flood damage during the summer, state planners also released 14 consecutive batches of emergency recovery funds totaling 750 million yuan to rebuild damaged public infrastructure and basic service facilities. In addition to direct livelihood support, central investment is driving early-stage and ongoing construction on major strategic engineering works. Key projects that have officially commenced include the Three Gorges Water Transport New Channel, Guangzhou New Airport, and the Fujian Shangbaishi Reservoir Project. Meanwhile, preparatory work is accelerating for additional strategic routes, such as the eastern and western sections of the Xinjiang-Tibet Railway and the modernization of Sichuan's historic Dujiangyan Irrigation District. The NDRC also cited progress in international trade and infrastructure connectivity during the first half of the year under the Belt and Road Initiative (BRI). Trade in goods with BRI partner countries reached 12.97 trillion yuan, representing a 14.8 percent year-on-year increase and accounting for 50.9 percent of China’s total foreign trade volume. Infrastructure milestones included opening freight services on the Hungarian section of the Hungary-Serbia Railway and commencing full-line construction on the China-Kyrgyzstan-Uzbekistan Railway. Additionally, China-Europe Railway Express operations expanded by 20.2 percent year-on-year, running 11,186 trips in the first six months.