China’s fiscal revenue declines in 10m of ’24

China’s fiscal revenue declined 1.3 per cent year-on-year in the first ten months of 2024, marking a slight improvement from the 2.2 per cent decline recorded in the January-September period, recent data from the Ministry of Finance showed.

During the same period, fiscal expenditure increased by 2.7 per cent, up from the two per cent growth seen in the first nine months of the year.

While these figures suggest a slight stabilisation in China’s fiscal position, the overall economic recovery remains uncertain. Recent economic indicators have painted a mixed picture, despite the implementation of supportive policies since late September.

To address growing concerns over local government debt burdens and potential trade disruptions, the Chinese government unveiled a 10 trillion-yuan debt swap package earlier this month.

Attribution: Reuters

Subediting: M. S. Salama