Projects

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Background

The western region of the People's Republic of China (PRC) has not benefited nearly as much from the economic growth and reforms as has the eastern coast of the country. Indeed, the gap in economic and social development has increased in recent years.

ADB's cooperation with the PRC in the railway sector shows that the construction of railways can contribute significantly to stimulating economic growth in relatively poor areas.

These projects, together with the developments and activities induced by the reduced cost of transport

• spur rapid economic growth and dramatic transformations of local economies
• enhance the investment environment in project areas
• enable access to wider markets and better prices for local products
• improve labor mobility
• generate large-scale employment for local people.

Consequently, railway projects contribute to higher incomes and living standards.