TOKYO, Dec 24: Japan plans to propose a joint fund worth a total of 200 billion yen ($1.8 billion) with China to help Beijing step up environmental protection efforts.

The government and ruling parties were working out the details, with Prime Minister Yasuo Fukuda intending to propose the plan during his visit to China starting Thursday, the Nikkei business daily said.

The fund will likely be used to extend low-cost loans to small- and mid-sized Chinese firms to set up wastewater treatment and other pollution prevention facilities, the newspaper said.

The Japanese side is to offer 100 billion yen to the fund, with China likely to contribute the same amount, the Nikkei said. The investment will likely be made through the Japan Bank for International Cooperation, it added.

SUBSIDY: Chinese farmers will be given a 13 per cent discount on televisions, mobile phones and other electrical appliances under a new subsidy scheme to boost rural spending, state press reported on Monday.

A pilot programme will begin for three of the nation’s major agricultural provinces under which the government will offer the subsidy for TVs, mobile phones and fridges, the China Daily reported, citing the finance ministry.

Once the scheme is expanded, air conditioners and washing machines will also attract a subsidy, according to the ministry.