China's 2024 Budget Deficit Ratio May Break 3%

China’s 2024 budget deficit-to-GDP ratio may also break through the 3% red line, after the issuance of CNY1 trillion of China Government Bonds pushing this year’s deficit ratio to 3.8% from the 3% set in March. A 3-3.5% deficit ratio may be enough, if policymakers set the 2024 growth target about 5%, said Zhang Yu, chief macro analyst at Huachuang Securities. The decision to increase the issuance of treasury bonds during the year will not become routine, as it only occurs when the economy and society encounter unexpected shocks, said Ming Ming, chief economist at CITIC Securities. (Source: 21st Century Business Herald)