Chinese government revved up spending at the beginning of the year to support economic growth, despite a lowered target for its fiscal deficit in 2018, official data released on Wednesday showed.
The Ministry of Finance said the government’s fiscal expenditure in the first two months of the year rose 16.7% compared with the same period a year ago to 2.9 trillion yuan ($458.1 billion). The growth was much higher than the 7.7% pace recorded for 2017.
China also received CNY3.66 trillion in revenue in the January-February period, up 15.8% from a year earlier, the finance ministry said.
The government lowered its target of fiscal deficit ratio to 2.6% for 2018, down from a 3% target in 2017.
Source: Dow Jones