CHINA’S central State-owned enterprises (SOEs) are expected to invest 1 trillion yuan (US$164 billion) in a rustbelt northeastern province over the next three years as part of a Cabinet program to revitalize the region, domestic media said Sunday.

    SOEs have signed agreements or started initial work on 91 projects in Liaoning Province with another 82 projects in discussion, Xinhua News Agency said.

    They have reached intent to cooperate on 183 projects, with investment in the province totaling 1 trillion yuan over the next three years, Xinhua said.

    In August the Cabinet announced fresh policies to support the lagging northeast, including quickening infrastructure investment and opening up State firms to private investment.

    Premier Li Keqiang has already pledged to provide more support for the northeast region, which is made up of the provinces of Liaoning, Jilin and Heilongjiang.

    The government will speed up the construction of railways, highways, airports, power grids and water conservation, as well as spend more on shanty town renovation.

    Privately owned banks will be allowed to set up in the region.

    Known as China’s rustbelt, the northeast was plagued by widespread layoffs in the 1990s, when the government forced State factories to shut en masse to cull inefficient industry.

    The region enjoyed an economic boom in the past decade due to the Central Government’s supportive policy and increased demand for raw materials and machinery products, but the revival wobbled this year as China’s growth grinds towards a 24-year low.

    The government will encourage the region to embrace technological innovations, supporting new industries, such as robots, gas turbines and high-end marine engineering equipment.

    The region will step up trade and energy cooperation with Russia, Mongolia, Japan, South Korea and North Korea.

    (SD-Agencies)