Reporters' Log

China urged to spend 20b yuan on Internet infrastructure

By Li Weitao (chinadaily.com.cn)
Updated: 2009-03-07 15:03

China should spend about 20 billion yuan ($2.92 billion) in Internet network infrastructure to bolster its economy, a Chinese People's Political Consultative Conference (CPPCC) member proposed.

Related readings:  China Internet users soar to 298 million  CNNIC: 234m Chinese get news via Internet  Internet eyes ad sales in hard times

Such expenditure should be used for infrastructure such as FTTH (fiber-to-the-home), broadband Internet access and Internet security, the China Securities Journal quoted JP Morgan China CEO Fang Fang as saying.

The spending could help boost the productivity of traditional industries and produce a new industry chain which would eventually boost the sagging economy, Fang said.

China last November announced a 4-trillion-yuan pump-priming package and later introduced stimulus plans for several key industries.

However, some industry observers said the government has overlooked the roles of the information and telecommunications technology in bolstering the economy.

Wu Hequan, vice president of the Chinese Academy of Engineering and also a CPPCC member, said the government should give equal attention to road networks and Internet networks in reviving the economy.

About 45 percent of the 4-trillion-yuan stimulus package is expected to be spent on roads, railways, airports and power supply networks.

Wu said the government needs to work out a national broadband strategy and subsidize operators in expanding broadband Internet networks in rural areas.

Central Economic Work Conference

• Interest Rate Cut
• 30 Years of Reforms
• Coping with Financial Crisis
• Housing in China
• 2008 Tsinghua Management Global Forum
• more

Hot Words

• 政府注資 pump priming
• 軟環境 soft environment
• 糧食最低收購價 crops' minimum purchase prices

• 保八 Eight Percent Protection
• 以人為本 Put People First
• 農民企業家 Farmer-turned-entrepreneur
• 窗口指導 window guidance
• 下崗再就業 Re-employment after being laid off
• more

From Foreign Press

• German media give full coverage to Premier's report
• Overseas press praise China's 8% economic growth
• German media: Economy tops agenda at NPC session
• From the foreign press
• World media keeps close watch on 'two sessions'
• more

Letters

• Corruption top issue for public
• China adopts Food Safety Law
• China's economic growth in 2009
• more