China to speed up technology spending to stimulate economy

China will accelerate investments in key technology sectors as part of a  new stimulus package to help the economy recover faster, state radio reported citing statements by prime minister Wen Jiabao.

The new investments is aimed at boosting the economy by speeding up some recently announced projects ahead of the annual National People's Congress, scheduled for March, media reports said.

"We will accelerate and bring forward parts of the 600 billion yuan ($88 billion) of planned investments on 16 major projects, under our mid- and long-term-development plan for science and technology that are closely linked to the economy now," reports cited Wen as saying in his radio address.

The extra investments in technology would be over and above the 4 billion yuan spending the government planned in its fiscal stimulus package announced in November.

China's ministry of environmental protection, meanwhile, has approved 470 billion investment in over 153 projects, the state-run newspaper China Daily said.

Thirty-one of the approved projects involve infrastructure development and account for 139.3 billion yuan in spending.

The Chinese economy, Wen said, has performed better than expected in December and is set to lead global recovery from the economic crisis.

"We must maintain confidence and determination that China's goal is to become first to rebound and revive from the crisis," the South China Morning Post cited Wen as saying.

The Chinese economy grew at 9.0 per cent in the third quarter of 2008, the lowest in over five years.

China's Statistics Bureau will release key economic data for December beginning Wednesday till the week-end.