by XIN Yuan

China's cabinet on Monday unveiled a 13-point plan to boost private investment, pledging to open more sectors and expand financing for infrastructure, energy and technology projects as policymakers look to shore up growth and business confidence.

The State Council released a document, Several Measures to Further Promote the Development of Private Investment, outlining steps to attract more private capital into major projects and emerging industries.

Private investors will be allowed to take stakes of 10% or more in approved projects such as railways, nuclear and hydropower, long-distance power transmission, oil and gas pipelines, LNG terminals and water supply systems, the document said.

Beijing also plans to expand private participation in low-altitude aviation, commercial space and satellite communications, promising equal treatment in licensing and approvals. It will publish a national list of research facilities open to private companies and support capable firms in leading key technology programs.

To ease funding constraints, the government said it will increase central budget investment and make greater use of policy-based financial tools to support qualified private projects and supplement capital.

Private investment, a key driver of China's domestic demand, has remained weak this year. Data from the National Bureau of Statistics show that private fixed-asset investment fell 3.1% year on year in January–September, compared with a 0.5% decline in overall investment.

Policymakers have been signaling stronger support for months. At a State Council meeting on Sept. 12, officials called for "practical measures" to expand market access, remove barriers and boost confidence among private investors.

Local governments have since rolled out their own initiatives. Jiangsu Province has listed 228 major projects involving private capital this year — 27 more than in 2024 — with planned investment of 150 billion yuan (about US$21 billion) in next-generation technology, new energy and advanced manufacturing. In Xiaogan, Hubei Province, 122 projects worth 57.7 billion yuan were opened to private investors, with about 25.2 billion yuan expected from private sources.

The new plan also bans discriminatory tender rules that restrict private firms' participation — such as requiring them to set up subsidiaries or join associations — and mandates equal treatment in qualification reviews.

In public procurement, government departments must reserve at least 40% of budgets for projects worth over 4 million yuan for small and medium-sized enterprises and are encouraged to raise advance payments to private contractors to above 30% of contract value.

Implementation details are expected to follow in the coming months as Beijing works to translate the plan into on-the-ground investment projects.