The Ministry of Railways has begun the process of raising Rmb30bn in bonds to support railway construction in China, reported Xinhua.

The funds are to be used to construct 32 new lines, including a high-speed passenger line linking the two northeastern cities of Dalian and Harbin. Last year, the National Development and Reform Commission gave permission for the ministry to issue Rmb100bn of bonds, mainly to facilitate construction of 43 railway construction projects and rolling stock purchases.

China plans to extend its rail network to 100,000km by 2020 from 76,600km in 2006, at an estimated cost of Rmb2,000bn.