Fiscal Revenue Outlook “Uncertain” - Finance Minister

The fiscal revenue outlook for 2023 remains “uncertain” as the foundation for economic recovery is not yet solid, according to Finance Minister Liu Kun. In a recent article in state media, Liu said he expected revenue to increase moderately in 2023 despite the uncertainty, owing to an increase in economic activity and due to 2022 being a low base year, according to a report by Shanghai Securities News. This year's taxation policy will focus on stimulating domestic demand, supporting SMEs and strengthening people’s livelihoods. Liu mentioned the important role for local government special bonds and central infrastructure investment whilst preventing blind expansion of investment, and encouraging more private capital participation.