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Economic fluctuation unlikely for Beijing after Games

(Xinhua)
Updated: 2008-08-21 15:53

An expert on Beijing Olympic economy said on Thursday that the capital city's economy will not be subject to fluctuation after the Olympic Games.

Chen Jian, executive president of Beijing Olympic Economy Research Association, said at a press conference at the Main Press Center that after the Beijing Olympic Games, Beijing's economy will shape up a development pattern featuring the sectors of high technology, finance, services and culture.

"Investment in urban infrastructure will remain intensive and the new investment is enough to continue to push economic growth and shun potential post-Games economic fluctuation," said Chen.

Taking subway transport as an example, Beijing had merely 54 kilometers of subway in 2001, but it extended to nearly 200 km in July 2008 and is expected to reach 561 km in 2015. Investment in this field will continue, he said.

"Some Olympic host cities suffered economic fluctuation in the post-Games period, merely because their investment into infrastructure construction was excessive compared with the city's size. Beijing will try to avoid that situation," he said.

He said that in general housing prices in Beijing were rational when the city prepared the Olympic Games. From the end of 2007 to the first half of 2008, the city's real estate market entered a period of readjustment, and the period may be prolonged after the Games. On the other hand, huge housing demand would support the city's housing prices.