SHIJIAZHUANG - The management committee of Xiongan New Area has announced that a special company has been established to fund construction of the area.

With registered capital of 10 billion yuan ($1.47 billion), China Xiongan Construction & Investment Group is a state-owned company.

The Hebei provincial government approved its founding in July.

The company will raise fund to build houses and apartments, develop the Baiyangdian water area, and to build transport links, energy infrastructure and public facilities in Xiongan.

China announced plans in April to establish the Xiongan New Area, a new economic zone about 100 kilometers southwest of Beijing. It covers Hebei's Xiongxian, Rongcheng and Anxin counties.