Source: Global Times Published: 2024-07-29

By Feng Fan

China initiated a new round of funding and resource allocation on Monday to assist areas affected by recent severe rainstorms, floods and typhoon damage. The move is expected to help restore people's livelihood and production capacity in the affected regions and accelerate post-disaster recovery, with experts advocating for increased financial support.

The National Development and Reform Commission (NDRC) urgently allocated 500 million yuan ($69 million) from the central budget on Monday, aimed at promoting emergency recovery efforts in Hunan, Henan, Sichuan and Shaanxi provinces, which have been affected by rainstorms and floods, and the typhoon-impacted Fujian Province. The funds are designated for the repair of essential infrastructure such as flood controls, schools and hospitals to quickly reinstate public services in these disaster-stricken areas.

Simultaneously, China's National Food and Strategic Reserves Administration mobilized 15,000 items of disaster relief supplies including summer bedding, mattresses and emergency kits from state reserves for Central China's Hunan Province. This effort is part of a broader push to ensure that displaced populations are well accommodated and receive necessary material support.

Experts noted that the central government's financial commitment underscores the attention given to the affected regions, which will significantly contribute to their economic recovery.

The investment by the NDRC will support economic revival in the affected regions, complementing local government relief measures and previous disaster relief efforts. These investments will not only aid in rebuilding local infrastructure but also act as a form of fixed asset investment, which helps stimulate local economies and supports economic recovery, Tian Yun, a veteran economist based in Beijing, told the Global Times on Monday.

Post-disaster reconstruction is not solely an economic issue but also a vital social welfare matter, impacting many residents' lives. Beyond central funding, local governments are also expected to provide matching funds to aid in economic recovery and reconstruction efforts, Tian said.

Recent rounds of extreme weather have caused significant economic losses and casualties across multiple Chinese regions. According to the provincial flood prevention and control office of East China's Fujian Province on Sunday, by Saturday evening, Typhoon Gaemi had affected 766,900 residents in the province, with direct economic losses amounting to 1.6 billion yuan.

On Sunday, a landslide triggered by flood in Yuelin village in the city of Hengyang, Central China's Hunan Province, resulted in the collapse of a residential building. Initial assessments by local authorities identified that by noon on the same day, emergency teams had found 18 individuals, with 12 fatalities and 6 people injured.

With ongoing natural disaster impacts, further increases in funding are anticipated, according to Zhou Rong, a senior researcher at the Chongyang Institute for Financial Studies at Renmin University.

'Although the 500 million yuan funding is substantial, it alone cannot solve all problems in the disaster affected areas. If natural disasters continue, the Chinese government will be expected to provide additional funds to help these areas recover,' Zhou noted.

This latest NDRC funding of 500 million yuan is just one of a raft of actions taken to address the large-scale climate disasters currently affecting the country. On Friday, the Ministry of Finance and the Ministry of Emergency Management pre-allocated 475 million yuan in natural disaster relief funds to support provinces like Hunan and Henan in flood rescue and relief efforts, ensuring the safety of people's lives and property, and restoring normal order in the disaster areas as swiftly as possible.