Economic news

China needs to step up fiscal policy help for its economy – vice Finance Minister

2023.03.31 00:22


© Reuters. FILE PHOTO: The sign of China’s Ministry of Finance is pictured in Beijing, China August 23, 2018. REUTERS/Jason Lee

BEIJING (Reuters) – China needs to step up fiscal policy assistance for its economy, Vice Finance Minister Zhu Zhongming said on Friday, adding the country will move steadily on implementing preferential tax and fee policies.

China will effectively ease tax burdens of small firms and household businesses as its small firms still face many difficulties and need more support, Zhu told a media briefing.

“Currently, the external environment is volatile, world economic growth is sluggish, and global trade is being impacted. The foundation for China’s economic recovery is not yet solid and the triple pressures of demand contraction, supply shocks, and weakening expectations remain significant,” Zhu said.

“To address these risks and challenges, it is necessary to step up finance policy’s macroeconomic adjustments.”

The government has set a budget deficit target at 3.0% of GDP for 2023, widening from a goal of around 2.8% last year.

On Monday, the finance ministry issued a preferential tax policy for some small firms and household businesses, including

levying a 20% income tax for small firms with annual sales not exceeding 1 million yuan ($145,808.73).

That tax policy will lower companies’ burdens by more than 480 billion yuan per year, Zhu said.

Chinese policymakers have pledged to step up support for the economy that is recovering steadily from one of worst showings in nearly half a century last year due to COVID-19 curbs.

($1 = 6.8583 renminbi)

Source link

Related Articles

Back to top button
bitcoin
Bitcoin (BTC) $ 105,068.15 2.49%
ethereum
Ethereum (ETH) $ 3,190.24 1.42%
xrp
XRP (XRP) $ 3.11 0.34%
tether
Tether (USDT) $ 1.00 0.03%
solana
Solana (SOL) $ 238.23 1.87%
bnb
BNB (BNB) $ 676.18 0.15%
usd-coin
USDC (USDC) $ 1.00 0.00%
dogecoin
Dogecoin (DOGE) $ 0.331324 0.12%
cardano
Cardano (ADA) $ 0.961805 2.15%
staked-ether
Lido Staked Ether (STETH) $ 3,183.10 1.31%
tron
TRON (TRX) $ 0.24586 1.33%
chainlink
Chainlink (LINK) $ 24.33 3.82%
avalanche-2
Avalanche (AVAX) $ 33.67 0.58%
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 104,659.04 2.15%
wrapped-steth
Wrapped stETH (WSTETH) $ 3,798.65 1.59%
stellar
Stellar (XLM) $ 0.403213 0.43%
the-open-network
Toncoin (TON) $ 4.89 0.37%
hedera-hashgraph
Hedera (HBAR) $ 0.316151 2.49%
sui
Sui (SUI) $ 4.00 6.53%
shiba-inu
Shiba Inu (SHIB) $ 0.000019 0.05%
litecoin
Litecoin (LTC) $ 127.64 11.24%
weth
WETH (WETH) $ 3,189.68 1.39%
polkadot
Polkadot (DOT) $ 5.92 1.90%
leo-token
LEO Token (LEO) $ 9.76 0.26%
hyperliquid
Hyperliquid (HYPE) $ 26.28 13.77%
bitcoin-cash
Bitcoin Cash (BCH) $ 428.84 2.94%
bitget-token
Bitget Token (BGB) $ 6.88 1.49%
uniswap
Uniswap (UNI) $ 11.95 0.49%
usds
USDS (USDS) $ 0.999134 0.04%
wrapped-eeth
Wrapped eETH (WEETH) $ 3,374.04 1.52%
ethena-usde
Ethena USDe (USDE) $ 1.00 0.04%
official-trump
Official Trump (TRUMP) $ 27.52 1.50%
pepe
Pepe (PEPE) $ 0.000013 1.24%
near
NEAR Protocol (NEAR) $ 4.53 1.86%
ondo-finance
Ondo (ONDO) $ 1.59 13.13%
mantra-dao
MANTRA (OM) $ 4.75 4.37%
aave
Aave (AAVE) $ 301.91 1.02%
aptos
Aptos (APT) $ 7.55 0.92%
internet-computer
Internet Computer (ICP) $ 8.94 1.75%
monero
Monero (XMR) $ 231.37 3.37%
whitebit
WhiteBIT Coin (WBT) $ 28.62 0.73%
ethereum-classic
Ethereum Classic (ETC) $ 26.13 1.71%
bittensor
Bittensor (TAO) $ 459.24 1.97%
mantle
Mantle (MNT) $ 1.10 0.90%
vechain
VeChain (VET) $ 0.045461 4.43%
crypto-com-chain
Cronos (CRO) $ 0.130841 1.00%
dai
Dai (DAI) $ 1.00 0.06%
polygon-ecosystem-token
POL (ex-MATIC) (POL) $ 0.404284 0.74%
okb
OKB (OKB) $ 55.63 3.03%
kaspa
Kaspa (KAS) $ 0.127722 4.43%