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China plans to input 80 billion yuan in ten key projects in western regions this year, and considers drafting law on western region promotion to bolster its development, senior official said at a press conference in Beijing Thursday.

Li Zibin, deputy director of the Office of the Leading Group for Western Region Development of the State Council introduced the latest development of the region and government measures at the conference hosted by the State Council Information Office.

Li is also Vice-Minister of the State Development and Reform Commission.

Ten Key Projects

Li said key projects in the western region have been further strengthened. A total of 80 billion yuan will pour into another ten key projects in western region by the end of the year.

In the first half of this year, the west-to-east electricity transmission project newly installed 600,000 kw of power-generating capacity and increased 2,400 kilometers of transmission lines. The pipeline for transmitting natural gas from the west to the east was completed ahead of schedule. Highways open to traffic were extended by about 6,000 kilometers. Nearly 60percent of investment of the key water control projects were completed.

He said by the end of August, the main track of the Qinghai-Tibet Railway had been extended by 232.6 kilometers this year.

Better Business Environment

Though foreign direct investment (FDI) flowing into west China now accounts for a mere 4 percent of the country's total, Li Zibin still expressed his optimism about the future foreign investment in western regions.

He noted that west China had abundunt energy, tourism and mineral resources. Besides, its transport and telecommunications facilities are improving.

"These will give investors good returns and create a 'win-win' situation," he said.

The country has been allocating a majority of loans from foreign governments and international financial organizations to the development of its poor but vast western part, according to Li.

China consider law on west region promotion

Li said that China is drafting a law regulating measures and activities in promoting the western region, both in economy and social development.

The National People's Congress (NPC) Standing Committee, China's top legislative body, has listed the law drafting as its five-year law-making plan.

"We need to have a law regulating guiding policies, development strategies, key missions and others concerning the western region development," said Li.

The first draft of the law on promotion for western region development has been released for discussion and advice, and will soon submit it to the State Council Legislative Affairs Office.

Any draft law in China will be thrice run the gauntlets of top legislators, who convene bimonthly, before final approval.

(Xinhua News Agency October 14, 2004)