China issued 40 billion yuan (US$5 billion) worth of railway
construction bonds in 2006, the largest amount for a particular
sector, according to the Ministry of Railways.
China has issued more than 100 billion yuan of corporate bonds
this year, a record high.
According to the ministry, the 40 billion yuan will be used to
purchase trains, construct the Beijing-Tianjin express railway and
build 19 railways including the Zhengzhou-Xi'an and Wuhan-Guangzhou
passenger railways.
The 5-year, 7-year, 10-year, 20-year and 30-year bonds carry
fixed annual interest rates ranging from 3.65 percent to 4.10
percent.
Yu Bangli, an official with the ministry, said the ministry has
issued more than 68 billion yuan worth of railway construction
bonds since 1995, and the funds play a crucial role in China's
railway construction.
(Xinhua News Agency December 19, 2006)