BoC to invest $878m in high-speed railway

Bank of China (3988.HK, 601988.SS) said on Thursday that it intended to invest as much as US$878 million to purchase a 4.5% stake in the state-owned firm responsible for the construction of a high-speed railway connecting Shanghai and Beijing, reported Reuters. The listed Hong Kong unit of the company will use foreign currencies to make the investment in the US$32.4 billion, 1,318 kilometer railroad project. Railway investment was boosted 67% by China’s 2009 stimulus package. The deal is still awaiting regulatory approval.