No. 1 Document Locks Water Conservancy &Nbsp; 4 Trillion Investment Will Become A New Engine Of Economy.

The investment will reach 4 trillion yuan in the next 10 years.

Eighth guiding work of agriculture, rural areas and farmers since the beginning of the new century

The paper proposes to increase the input of public finance to water conservancy and regard water conservancy as the key area of public financial input.

Measures include extracting 10% of the proceeds from land pfer for irrigation and water conservancy construction, further improving the water conservancy construction fund policy, extending the collection period, expanding the sources of income, increasing the scale of income, and strengthening financial support for water conservancy construction.

In response, Chen Xiwen, deputy head of the central rural work leading group and director of the office, analyzed that in 2010, China's water conservancy investment was 200 billion yuan, which is 400 billion yuan more than doubled, which means that the water conservancy investment in the next 10 years will reach 4 trillion yuan.

Huge investment in water resources will stimulate the explosive development of related industries.

Wu Xuan, Research Institute of Finance and economics, said that research has proved that every additional 200 billion yuan of water conservancy investment will stimulate investment in the entire water conservancy industry chain of about 740 billion yuan: 250 billion yuan upstream industry, 200 billion yuan downstream industries and 290 billion yuan of other industrial investment.

According to this pulling ratio, the total investment of water conservancy construction in the next ten years will be about 4 trillion yuan, which will pry up a huge cake of 14 trillion and 800 billion yuan.

Guoxin Securities analyst Qiu Bo also believes that the scale of water conservancy investment in the next few years will be "surging" and will last for a long time. The water conservancy and hydropower industry boom cycle is coming, and will run through "12th Five-Year" or even "13th Five-Year".

In fact, the grand blueprint for the success of the new water conservancy is not the first creation of China.

In 1930s, the United States took the construction of public works dominated by water conservancy facilities as the main task.

"The federal government of the United States has made about 100 times return in the field of water conservancy based investment in agriculture," Wu Xuan said. This means that the construction of China's "new water conservancy" in 2011, whether strategic or value creation, will create an unprecedented opportunity.