China's Plan to Boost Economy Over Next Five Years

China's finance minister recently shared some big plans for the country's economy.

Strengthening Fiscal Policy

Over the next five years, China aims to strengthen its fiscal policy. This means they will use different tools like taxes, government bonds, and subsidies to support economic growth.

Global Uncertainty and Investment Focus

The minister mentioned that the global environment is quite unpredictable. There are tensions between major countries, but they didn't point out any specific ones. Despite this, China is planning to invest more in important areas like technology, education, and social security.

Encouraging Consumer Spending

One interesting point is that they will use fiscal subsidies to encourage people to buy more goods and services. This could mean more discounts or incentives for consumers.

Optimizing Government Investment

Additionally, they will use special bonds to optimize government investment.

Balancing Deficit-to-GDP Ratio

The minister also talked about balancing the deficit-to-GDP ratio and government borrowing. This is important for maintaining economic stability. By using a mix of local government bonds and ultra-long special treasury bonds, China hopes to support various sectors effectively.

Preparing for the Future

In simpler terms, China is preparing for the future by focusing on key areas and using financial tools to keep the economy strong. It's all about balancing spending and investment to support long-term growth.