More support for ailing railway sector

China will allow railway firms to generate more income from land development and from building new transport hubs, the government said on Monday, in the latest move to step up financing support for the debt-laden sector.

The railway sector is burdened by mounting debt due to State-led investments in the past, prompting the government to reform the financing model by attracting private investment.

Under guidance issued by the cabinet, the government will "support railway transport firms to revitalize the use of existing construction land through independent development, transfer, lease or other means".