STATE-OWNED CITIC (China International Trust and Investment Corporation) said that its banking, securities, trust and construction divisions will invest CNY700 billion (US$112.79 billion) to support China’s new “One Belt, One Road” initiative.
The investments will involve 300 projects extending from Singapore to Turkmenistan, said Reuters.
Under the initiative, China aims to create a modern trade route known as the Silk Road Economic Belt and the 21st Century Maritime Silk Road.
Projects under the plan include a network of railways, highways, oil and gas pipelines, power grids, Internet networks, maritime and other infrastructure links.
These will span central, west and south Asia to as far as Greece, Russia and Oman, increasing China’s connections to Europe and Africa.
President Xi Jinping said in March that he hoped China’s annual trade with the countries involved in the initiative would surpass US$2.5 trillion in a decade.
China CITIC Bank Corp, with more than CNY4 trillion in assets, will provide more than CNY400 billion in financing to more than 200 projects in areas such as infrastructure, energy, agriculture and culture through its local branches, the bank said.
CITIC’s other subsidiaries, including CITIC Securities Co, CITIC Trust Co, CITIC Construction Co, CITIC Heavy Industries Co and CITIC Resources Holdings, will invest nearly CNY300 billion in 100 projects in more than 10 countries along the route.
CITIC Group earned CNY50.8 billion in revenue overseas last year, accounting for 15 per cent of the group’s total revenues.