日批在线视频_内射毛片内射国产夫妻_亚洲三级小视频_在线观看亚洲大片短视频_女性向h片资源在线观看_亚洲最大网

US EUROPE AFRICA ASIA 中文
Business / Economy

Debt hangover to give nation the budget blues

By Zheng Yangpeng (China Daily) Updated: 2015-03-26 08:00

In the third in a series on the 'new normal' economy, Zheng Yangpeng reports on efforts to resolve local government finances.

Debt hangover to give nation the budget blues

An employee counts yuan banknotes at a bank in Huaibei, Anhui province June 22, 2010.[Photo/Agencies]

The nation is pursuing a more proactive fiscal policy in 2015 to offset the economic slowdown. But for experts familiar with China's public finances, there is a worrying source of uncertainty-that of local governments' off-budget spending.

The target for the national budget deficit this year is 1.62 trillion yuan ($260 billion), which would be 270 billion yuan wider than last year's, according to the annual Government Work Report. This year's figure represents 2.3 percent of GDP, up from 2.1 percent last year.

Fiscal expenditures are a major factor in a country's economic performance, especially in China, which relies heavily on government-led investment. As many economists have pointed out, public spending matters in China for more than one reason.

First, there is its sheer scale, accounting for nearly 40 percent of fixed-asset investment. Second, it leads private investment. If public investment growth tumbles, private investment will not expand, either.

But the official budget is just part of the fiscal picture, and not the biggest one either. Provincial and city governments spend huge amounts on capital projects off-budget through government-related entities. The country's fiscal deficit would be much larger if this spending was included.

"The fiscal deficit set by the central government held at about 2 percent of GDP in the past three years. But in the same period, the growth of off-budget spending, classified as 'local government debt', was astonishing," said Zhu Haibin, chief economist in China at JPMorgan Chase & Co.

State auditors found that as of the end of June 2013, total liabilities of local governments stood at 17.9 trillion yuan, up from 10.7 trillion yuan at the end of 2010. That means local government debt grew at an annualized rate of 23 percent.

By comparison, budget spending in 2013 rose 10.1 percent.

Zhu estimated these debts alone would yield an annual fiscal deficit of 6 percent to 7 percent.

"These numbers demonstrate why even though China's fiscal deficit remained at a moderate level, GDP growth maintained high levels in the past few years," Zhu said.

In August, the central government intensified its curbs on local government borrowing, which might rein in off-budget spending this year. Economists agreed that regulating opaque borrowing through local government financing vehicles was an appropriate step.

Previous Page 1 2 Next Page

Hot Topics

Editor's Picks
...
主站蜘蛛池模板: 日本色网址 | 心动小房东动漫1至6集 在线观看免费 | 久久手机视频 | 久久久久久久久久av | 天天插天天操天天干 | 久操网站 | 国产特黄一级片 | 视频一区在线免费观看 | 国产成人三级在线观看 | 国产h视频 | 在线免费国产视频 | 91免费| 黄色网页在线免费观看 | 国产精品欧美激情 | 亚洲一区 在线播放 | 91久久国产精品 | 四虎影院国产精品 | 久久综合免费视频 | 三级亚洲欧美 | 欧洲久久久久 | 久久久久免费 | 华人永久免费 | www夜夜操| 日本一区二区三区免费视频 | 亚洲美女激情视频 | 亚洲男人影院 | 四虎网站| 性欧美精品 | 精品在线小视频 | 天天草视频 | 日韩一区二区三区四区 | 久久成人免费视频 | 久久大胆| 李蓉蓉在线观看 | 可以直接看的毛片 | 黄色片视频免费 | 天天拍天天干 | 国产精品成人在线视频 | 99免费精品视频 | 国产片一区二区三区 | 视频一区二区三区四区五区 |