China's finance minister Lan Foan said fiscal authorities will design targeted
incremental policies to expand domestic effective demand and keep the economy on
an even keel as the 15th Five-Year Plan begins. Fiscal measures include
reasonably speeding up spending and stepping up oversight of regions with slow
disbursements to get funds deployed sooner. Authorities will coordinate use of
ultra-long special sovereign bonds and local government special bonds to advance
construction of the six networks and two priority projects. The ministry will
expand interest-subsidy programs—widening coverage, adding executing agencies
and modestly raising limits—to stimulate consumption and leverage private
investment. Beijing will issue 300 billion yuan of special sovereign bonds to
help selected central financial firms replenish core Tier‑1 capital, shoring up
their stability and capacity to lend to the real economy. Officials will study
using local government debt-stock limit arrangements and other incremental
measures to boost local general public budget capacity and support expanded
effective investment.
