MNI China Press Digest, July 8: Investment, Trust, Reforms

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

Monday:

     Boosting investment will be the key to countering external headwinds and

underpinning growth, the People's Daily said in a front-page report today. There

is still plenty of room for investment growth, but it requires selecting key

projects and expanding funding sources, the newspaper said. There is no need for

a fresh round of strong stimulus, as long as the government adopts the right

measures, the newspaper reported, citing Wang Yuanhong, deputy director of

economic forecasting at the State Information Center.

     China Banking and Insurance Regulatory Commission has issued warnings to

certain trust companies with rapidly growing real estate trust business,

ordering them to follow the principle that "housing is for living, not for

speculating", the Securities Daily said in a front-page report today. By the end

of May, the balance of real estate trust assets was CNY3.15 trillion, up 15.5%

y/y from the start of the year, the paper said. Though it is not a big gain by

historical standards, the regulator is alert to the rapid growth and compliance

problems, the newspaper reported, citing an unnamed CBIRC official.

     Several provinces including Jiangsu, Shanghai, Shandong, Guangdong and

Zhejiang are planning the release of new plans to upgrade their national-level

Economic and Technological Development Zones as soon as mid-July, the Economic

Information Daily report today. To build a modern industrial system will be the

focus of the reform, as well as fostering strategic emerging industries and

high-tech projects, the paper said.

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

--MNI London Bureau; tel: +44 203-586-2225; email: les.commons@marketnews.com

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