Urbanization could cost RMB24trn

According to a new report by a government think tank, China may need to invest up to RMB24 trillion (US$3.6 trillion) in urban infrastructure by 2020 to accommodate the increasing number of rural residents moving to the cities.
The China Development Research Foundation based this assumption on the fact that the urbanization rate is currently around 47% and is increasing by about 1 percentage point each year. If the nation continues its urbanization-friendly policies, the rate could rise to 65% by 2020.
To accommodate this increase in the urban population, the country may need to invest at least RMB16 trillion (US$2.4 trillion) in roads, railways, power plants, water systems and social services, English.news.cn reports. But the think tank added that could be a conservative estimate.