The Bank of China will allocate 1 trillion yuan ($137.5 billion) over the next five years to financially support AI companies, as stated in an announcement from the organization.
The institution aims to “strengthen the foundation” for the artificial intelligence industry. The bank will support the construction of AI computing centers, auxiliary facilities, and infrastructure. Financial protections, such as property insurance, will also be provided to enhance companies’ ability to manage risks.
A special system has been established to facilitate the integration and modernization of AI technologies and industrial resources. Funding channels will be opened for key technology enterprises in capital markets.
The Bank of China intends to support new directions, such as the integration of artificial intelligence with robotics, economics, biomanufacturing, and other sectors. The institution will assist companies in expanding internationally.
In January, Donald Trump announced$500 billion in private sector investments for AI infrastructure. Experts expressed doubts about the feasibility of such large-scale funding.
Meanwhile, Chinese AI startup DeepSeek introduced a model that is better and cheaper than its American competitors, leading to a downturn in stock and cryptocurrency markets.
Source: https://coinpaper.com/7171/china-spends-137-5-billion-for-the-ai-race