MNI China Press Digest, July 23: Liquidity, Investment, Train

     BEIJING (MNI) - The following lists highlights from Chinese press reports

on Tuesday:

     The PBOC is expected to inject liquidity into the financial system this

week to offset the maturity of around CNY1 trillion of reverse repos and the

medium-term lending facility (MLF), China Securities Journal reported today. The

PBOC could conduct targeted MLF or selectively reduce the reserve requirement

ratio (RRR) to ensure ample liquidity conditions, the newspaper said citing

unnamed market sources. This week's opening of the new tech focused STAR

equities market also provided a good funding environment, the report said.

     There had been a very clear recovery in Chinese private investment in HI

this year, Shanghai Securities News reported today. More than 10 provinces saw

private investment growth of above 10%, while the newspaper said that growth in

Yunnan province exceeded 30%. Private investment has accelerated in the

manufacturing sector, especially in high-tech manufacturing and high-end

equipment, the report said.

     Chengdu, a city in Southwest China, is planning to build an

ultra-high-speed maglev train capable of speeds of up to 800 km/h to link with

the neighboring city Chongqing, 21st Century Business Herald reported today.

Shandong province and the Guangdong-Hong Kong-Macao Greater Bay Area have also

raised plans to build a similar train, although local governments are wary of

its high cost of construction given the relatively low capacity, the newspaper

said.

--MNI Beijing Bureau; +86 (10) 8532-5998; email: wanxia.lin@marketnews.com

--MNI Sydney Bureau; +61 405322399; email: lachlan.colquhoun.ext@marketnews.com

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