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China infrastructure projects fall foul of debt concerns

Chinese officials last May were celebrating the start of construction on a northern city’s first subway line.

Today the Rmb30.5bn ($4.7bn) project in Baotou, an industrial centre in Inner Mongolia, lies walled off and abandoned after the central government ordered a halt because of concerns about the city’s ability to pay for the scheme.

On Thursday China will announce that its economy grew 6.9 per cent last year, compared with 6.7 per cent in 2016, the first year-on-year growth increase in seven years.

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