China’s railway expansion will roll on after the stimulus

Overview

Railway construction has spearheaded the two-year fiscal stimulus package launched by China in November 2008. Though the rate of growth in spending will diminish, the sector will remain at the heart of the country’s development for at least another five years. Investing in rail lines will not just boost GDP growth; even more important, it will increase China’s productivity by facilitating urbanization, promoting domestic tourism and reducing regional...