THE Chinese government is struggling to meet its annual fiscal targets, Minister of Finance Lou Jiwei warned yesterday.
The central treasury received 2.968 trillion yuan (US$447 billion) from January to May, a year-on-year rise of 0.6 percent, Lou said when delivering a State Council report on the final accounts for 2015 to the National People’s Congress Standing Committee.
The increase is below the previously budgeted growth rate of 2 percent.
Total national fiscal revenue reached 6.988 trillion yuan in the same period, up 8.3 percent year on year.
Lou said the Chinese economy is generally steady this year, and a series of policies have led to more positive economic factors. However, the economy is still facing great downward pressure.
Under the current situation, the outlook for achieving the annual national fiscal revenue target is not optimistic, and greater efforts must be made, said Lou.
Lou said the finance ministry will stabilize and improve financial macro-economic policies, focusing on supply-side structural reform and moderately expanding demand to promote the steady and healthy development of the economy.
In the meantime, the ministry will accelerate reform of the tax system and fully implement the law on the budget, as well as strengthen budget management to prevent risks, Lou said.
Lou also vowed to strengthen management of local government debt by setting limits to control the scale of the debt.