China to spend big on public transport

China will increase spending on urban transport in a bid to relieve traffic congestion and air pollution in cities, Reuters reported. China’s State Council has announced a number of infrastructure spending plans and tax breaks, although few details on the source of the funding were offered. “The urban public transport system can no longer satisfy people’s demand and lags behind economic and social development,” the council said in a statement. Companies involved in the construction and operation will be offered preferential prices on power and fuel along wth tax cuts. The government will also channel private sector funds to invest in urban transportation systems, a means recently employed to increase liquidity.