Global EditionASIA 中文雙語(yǔ)Fran?ais
Business
Home / Business / Finance

Proactive and prudent policies to shore up growth in second half

By Chen Jia | China Daily | Updated: 2019-08-01 09:32
Share
Share - WeChat
Stronger supportive measures are expected, including further implementation of tax and fee cuts and targeted monetary easing. [Photo/IC]

A proactive fiscal policy that is in sync with the nation's prudent monetary stance will help ensure stable economic growth during the second half of the year, top economists said on Wednesday.

Stronger supportive measures are expected, including further implementation of tax and fee cuts and targeted monetary easing, to stabilize employment, trade, financial markets, investment, foreign capital, and expectations, economists told China Daily after a meeting of the country's policymakers.

The Political Bureau of the Communist Party of China Central Committee held a meeting on Tuesday and said that the nation will continue to implement a proactive fiscal policy and a prudent monetary policy in the second half of this year.

Cutting taxes and fees will be the priority in terms of fiscal policy, and nearly 1 trillion yuan ($145 billion) has to be reduced in the second half to achieve the 2 trillion yuan annual target, said experts.

Wang Jun, head of the State Taxation Administration, said at a meeting on Tuesday that cutting taxes and fees should be further implemented, although "it is a heavy task". The administration will also crack down on tax fraud in the subsequent months.

China's newly-introduced tax cuts and fee reductions have saved businesses 1.17 trillion yuan in the first half of this year, the STA said. The private sector has gained the most from the reforms, with 671.2 billion yuan of taxes reduced during the first six months.

In the third quarter, "we expect policy to become incrementally supportive again to maintain stable economic growth," according to Song Yu, an economist with Beijing Gao Hua Securities Co Ltd, Goldman Sachs' joint-venture company in China.

Meanwhile, expectations are rife that the government would raise the local government special bond quota later this year, as the Ministry of Finance had earlier confirmed that the 2019 quota of 2.15 trillion yuan would be fully utilized by September. Additional quota, as experts said, could support fixed-asset investment in the fourth quarter.

The fiscal policy will also support financing of small- and medium-sized enterprises, as the high-level meeting emphasized that financial institutions should be encouraged to increase medium-and long-term financing to the manufacturing industry and private companies, said Shen Jianguang, vice-president and chief economist at JD Digits, a Chinese financial technology firm.

The Ministry of Finance, jointly with other government departments, issued a notice recently to inject 2 billion yuan of special funds into some pilot cities each year, and the fund will be used as the compensation for small and micro enterprises' credit risk.

On the monetary policy front, the meeting suggested that the monetary policy should be "neither too tight nor too loose", while some economists said further cuts in reserve requirement ratios and interest rates are likely in the coming months. These measures can maintain market liquidity at the reasonable level required by the high-level meeting.

"We do not expect the monetary policy to shift toward more significant easing from here," said Zhu Haibin, JPMorgan Chief China Economist. "The meeting reiterated that the real estate market should not be used as short-term stimulus policy. (It also gave a) balanced statement on financial stability issues, such as accelerating disposal of zombie companies and controlling the pace of risk disposal, pointing at constraints in monetary and regulatory policy implementation."

The People's Bank of China, the central bank, will likely abandon the benchmark lending rate to build a stronger connection between banks' loan prime rate and key financial market interest rate in its effort to lower the funding cost for the real economy, said Zhu.

Besides supporting economic growth, the high-level meeting also stressed to prevent potential risks, saying that policy should "be well-measured at the pace and intensity of dealing risks", and "clarify the responsibilities of financial institutions, local governments and financial regulators," according to the statement.

Top
BACK TO THE TOP
English
Copyright 1995 - . All rights reserved. The content (including but not limited to text, photo, multimedia information, etc) published in this site belongs to China Daily Information Co (CDIC). Without written authorization from CDIC, such content shall not be republished or used in any form. Note: Browsers with 1024*768 or higher resolution are suggested for this site.
License for publishing multimedia online 0108263

Registration Number: 130349
FOLLOW US
CLOSE
 
主站蜘蛛池模板: 少妇被又大又粗又爽毛片| 欧美成人午夜精品免费福利| 国产我和子的与子乱视频| mm131美女爽爽爽作爱视频| 男人和女人做免费做爽爽视频| 国产精品无码久久av| 三男三女换着曰| 最近中文字幕2019国语7| 亚洲高清视频在线播放| 色爱无码av综合区| 国内剧果冻传媒在线观看网站| 久久国产成人精品国产成人亚洲| 男生和女生一起差差差很痛的视频 | 好男人社区成人影院在线观看| 亚洲人成网站在线观看播放动漫 | 一级免费黄色大片| 日韩三级电影免费| 亚洲日本中文字幕天天更新| 色94色欧美sute亚洲线| 国产欧美日韩精品a在线观看| zmw5app字幕网下载| 最近2019中文字幕无吗| 亚洲熟女WWW一区二区三区| 精品国产自在在线在线观看| 国产六月婷婷爱在线观看| 美女被免费网站91色| 在线|一区二区三区| 一本久久精品一区二区| 放荡的女老板bd中文在线观看| 亚洲成av人片在线观看天堂无码| 耻辱にまみれた失禁调教 | 亚洲欧美日韩精品久久| 精品午夜寂寞黄网站在线| 国产乱人免费视频| 欧美freesex黑人又粗超长| 国产韩国精品一区二区三区久久| 中文字幕日本最新乱码视频| 日韩精品无码中文字幕一区二区 | 我被丝袜长腿美女夹得好爽| 久久精品欧美日韩精品| 欧美乱强伦xxxxx高潮|