MNI: China Keeps Fiscal Policy 'Proactive': Finance Minister

     BEIJING (MNI) - China will maintain a 'proactive' fiscal policy to support

growth even as it aims to limit budget deficit, the Minister of Finance said.

While the deficit will be kept unchanged from last year at CNY2.38 trillion,

China will still boost expenditure by CNY21 trillion, at the same time allowing

local government to raise more money to spend on projects like infrastructure,

Minister Xiao Jie said at a press conference in Beijing on Wednesday. 

The government will strictly control its borrowing, capping local government

bond issuance this year at CNY1.35 trillion, Xiao said. 

China's government debt remains controllable, Xiao said. Its ratio against the

gross domestic product last year fell to 36.2% from 36.7% in 2016, he said. 

Xiao also said China is 'busily' drafting and perfecting its much-anticipated

property tax plan, which he said will help balance the distribution of wealth. 

--MNI Beijing Bureau; +86 10 8532 5998; email: william.bi@mni-news.com

[TOPICS: M$A$$$,M$Q$$$,MC$$$$,MI$$$$,MGQ$$$]