China's economy grew less than 7% in the third quarter, bringing immense pressure on sustaining steady economic growth, under current economic structure, increasing investment project seems to be the only solution which the government can exert control.

Anbound’s research team, however, is of the view that against the backdrop of the downward economy, such solution is also facing the risk of decreasing effectiveness.

It is hard for the increase in government investment (represented by the infrastructure investment) to cancel out the effect of the reducing private investment. Besides, the investment lead by the government also faces the problem of insufficient momentum.

In the future, the government will face tremendous difficulties in sustaining high economic growth rate by merely promoting investment infrastructure, in order to sustain the economic growth, it seems like the government has no choice but to consider the possibility of increasing government debt.