China's economy is in recovery

IMF and World Bank predictions of 5% - 6% growth earlier this year were upgraded to 7.2% in May, however, our sources in Beijing report an 8% growth- as predicted by the PRC itself. This growth is largely due to the government's 4000 billion yuan injection into the economy, approximately 25% of which is channeled into the country's infrastructure. The impact of the investment can already be seen in China's growing demand for energy.

According to the Nautilus Institute publication by By Jia Xijin and Zhao Yusi, "Of the 4000 billion RMB investment, sustainable housing projects account for 280 billion, rural livelihood and rural infrastructure projects account for 370 billion, railways, highways, airports, and power grids in urban and rural areas account for 1800 billion, medical and health as well as culture and education projects account for 40 billion, investment in environmental projects account for 350 billion, independent innovation and structural adjustment account for 160 billion, and post-disaster restoration and reconstruction account for 1000 billion."