SHANGHAI, (Reuters) – China’s top planner has launched a national push to increase the nation’s nascent REIT market. This is as Beijing seeks infrastructure investment.

The National Development & Reform Commission (NDRC) urged its local bureaus to step up publicity, cut red tape, and improve services, so that more infrastructure projects can be listed in the form of REITs, according to a notice posted on the agency’s website on Friday.

China opened a market for public REITs in Shanghai and Shenzhen, in June. This allowed infrastructure projects (ranging from tollways through sewage plants) to be listed in an attempt to reduce the burden of debt on local government.

Nine REITs were initially listed, however only three have since been added. According to analysts, the market is facing challenges such as a lack of profitable and quality projects that can be listed, and legal and tax problems.

The Dec. 29 NDRC notice said that local authorities should inform infrastructure owners about how REITs can reduce leverage and help to reduce debt risks, increase efficiency, and encourage them listing good projects.

In order to expedite the issuances of REITs, the NDRC urged the local bureaus to cooperate more with government agencies such as environmental and securities regulators.

NDRC believes that REIT listing profits should be used to fund new projects. The agency is increasing its oversight of these money flows.

China promised to boost infrastructure investment in order to sustain its economy.

Chinese regulators claim that REITs increase the funding channel for infrastructure projects and provide more options to investors. They also help lower China’s macro leverage ratio, reduce financial risk, and protect against future risks.

The pilot program limits eligible assets to infrastructure projects and does not include commercial properties like shopping centers or offices.