China has kicked off 2025 with bold fiscal moves aimed at boosting growth and enhancing everyday lives. The Ministry of Finance announced that spending has been significantly increased in the first half of the year, targeting key areas like infrastructure, social welfare, and domestic consumption support. 🚀
One major step was the approval of 2.6 trillion yuan in new bonds to finance major infrastructure projects and regional development initiatives. This move is designed to create jobs, improve transport networks, and drive overall economic progress.
In another stride, authorities issued 500 billion yuan in special sovereign bonds to recapitalize four major state-owned commercial banks, ensuring that the financial sector is well-equipped to support ongoing economic activity.
On the social front, measures are in place to directly boost residents' living standards. From raising basic pension payments, enhancing subsidies for public health and medical insurance, to expanding funding for education with boosted student aid programs and free preschool education pilots, these initiatives aim to create a positive impact for everyday lives. 💡
To further stimulate domestic consumption, 162 billion yuan in special bond funds were allocated for household appliance trade‑in programs, making it easier and more affordable for consumers to upgrade to the latest tech.
Fiscal transfers to local governments also grew by 7.5% year on year to 2.73 trillion yuan, strengthening financial support at the grassroots level and restructuring implicit debts to ease repayment pressures.
Taken together, these coordinated measures reflect a proactive and multifaceted strategy to maintain economic stability while addressing both immediate challenges and long‑term development needs. It's an exciting approach that could revitalize the economy and improve lives across the board!
Reference(s):
China ramps up fiscal spending to boost growth and support livelihoods
cgtn.com
