Pump: 7 Provinces Announce 25 Trillion in Infrastructure Projects, Global Easing on Wednesday

Seven Chinese provinces have announced a monster list of projects. They announce big lists every year, but maybe they get more funding this year? Also, global coordinated easing possibly coming on Wednesday.
iFeng: 7省份推出25万亿重点项目，这一轮基建投资新在哪里？

7 provinces launch 25 trillion key projects

On February 23, at the fifteenth press conference on the prevention and control of the new crown pneumonia epidemic in Yunnan Province, Guo Jinhua, director of the Fixed Assets Investment Division of the Yunnan Development and Reform Commission, said that in 2020, Yunnan will launch 525 key projects with a total investment of about 5 trillion yuan, and plans to complete investment of more than 440 billion yuan in 2020.

Yunnan is not the only province that has issued investment plans at the critical stage of the new crown pneumonia epidemic prevention and control. Since the resumption of work in various places after the Spring Festival, many provinces have announced investment plans for key projects in 2020.

On February 20, Henan Province released 980 key construction projects for 2020, with a total investment of 3.3 trillion yuan, and plans to complete an investment of 837.2 billion yuan in 2020, covering industrial transformation and development, innovation-driven, infrastructure, new urbanization, and environmental protection. , People's livelihood and social undertakings.

On February 25, the Fujian Provincial Development and Reform Commission issued the "Notice on Printing and Distributing the List of Provincial Key Projects in 2020", which identified 1,567 key projects in Fujian Province in 2020, with a total investment of 3.84 trillion yuan. Among them, there are 1,257 projects under construction with a total investment of 2.97 trillion yuan and an annual planned investment of 500.5 billion yuan; 310 preparatory projects with an investment of 0.87 trillion yuan.

Prior to the Spring Festival, Sichuan, Chongqing, Shaanxi, and Hebei provinces have released investment plans for key projects this year. In 2020, there will be 700 key projects in Sichuan Province with a planned total investment of about 4.4 trillion yuan and an annual investment of more than 600 billion yuan; 1136 major projects in Chongqing with a total investment of 2.6 trillion yuan and an annual planned investment of 347.6 billion yuan; Shaanxi There are 600 provincial key projects with a total investment of 3.38 trillion yuan and an annual investment of 501.4 billion yuan; 536 key projects in Hebei Province with a total investment of 1.88 trillion yuan and an annual planned investment of 240.2 billion yuan.

Judging from the investment plans of key projects announced by these 7 provinces, the total investment is close to 25 trillion yuan, and the planned investment in 2020 is also nearly 3.5 trillion yuan. In addition, other provinces across the country have released a list of key projects, but have not announced the total investment, and some provinces have insufficient specific data.

BPI: Don’t Keep Your Powder Dry

The cut will take place this Wednesday morning at 7 or 8 AM. The coordinated international actions on December 12, 2007 (time unknown), October 8, 2008 (7:00 AM), and November 30, 2011 (8:00 AM) were all on Wednesdays.

...A note on the “keep your powder dry” fallacy. There is an intuitive appeal to the idea that a central bank, when getting near the zero lower bound, should hold back a bit so it can cut more later if needed; that it should keep its powder dry. This is exactly wrong and is widely understood within the Fed to be exactly wrong.