Active Fiscal Policy to Be Maintained Next Year

China will continue to pursue a proactive fiscal policy next year so as to keep a sustained, healthy and stable economic growth, a government spokesman said Tuesday.

Wang Jun, spokesman of the Ministry of Finance, told a press conference sponsored by the State Council's Information Office that efforts will be intensified to carry out the proactive fiscal policy in accordance with changes in next year's actual economic conditions.

China has adopted the proactive fiscal policy for three consecutive years since 1998 to expand domestic demand and promote economic growth by issuing more treasuring bonds and increasing investment in infrastructure construction.

This policy has produced very good results and will still be maintained next year, he said, because domestic consumption and investment demands need further expansion, the growth in foreign trade is not steady enough, and major problems in the economic structure still exist.

Statistics show that in the January-September period this year, China's fiscal revenue had a record year-on-year growth of 21 percent to reach 956.1 billion yuan, while fiscal expenditures increased by 22 percent to stand at 945.3 billion yuan.

This indicates that 78 percent of the budget revenues and expenditures for the year has been completed, Wang said, adding that this is the fastest development in implementing the central budget over the past few years.

He predicted that the Chinese government will do a good job in implementing this year's budget and keep the budget deficit within the plan as endorsed by the legislature of the country.

During the first three quarters of the year, China's added value tax revenue increased 22.4 percent year on year, tariff revenue grew 32 percent, securities stamp duty revenue jumped 81.6 percent, personal income tax revenue climbed up 60.3 percent and corporate income tax revenue went up 31 percent, according to statistics.

(21dnn 10/18/2000)


In This Series

Sound Economic Performance in First Nine Months

Fiscal Policy Plays Bigger Role

Fiscal Policy Works Well

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