The Ministry of Railways plans to sell 20 billion yuan ($3.17 billion) of 365-day bonds, according to its prospectus filed on Monday on chinamoney.com.cn, a website of the China Foreign Exchange Trade System.

The proceeds will be used for the construction of railways, the purchase of rolling stock and working capital, the ministry said in the statement. China Construction Bank Corp and Industrial & Commercial Bank of China Ltd are the lead underwriters, it said.

The ministry's debt totaled 2.43 trillion yuan in the first quarter, according to the prospectus.