China’s Fiscal Revenue Down 2.8% in H1 2024

China's fiscal revenues fell 2.8 percent year on year to 11.59 trillion yuan (about USD1.62 trillion) in the first half of 2024 (H1), according to data released by the Ministry of Finance. However, after accounting for the impacts of a higher base due to deferred tax payments for small and medium-sized enterprises (SMEs) in the same period last year (2023) and the carryover effects of the tax reduction policy introduced mid-last year, fiscal revenue in H1 grew by approximately 1.5 percent year on year, the ministry added in a statement. A breakdown of the data showed that the central government collected around 5 trillion yuan in fiscal revenue, down 7.2 percent year on year, while local governments collected 6.59 trillion yuan, up 0.9 percent, according to the statement. The country's fiscal expenditure rose 2 percent during the period to 13.66 trillion yuan, the data showed. The central government's fiscal expenditure rose 9.6 percent year on year, compared to a 0.9 percent increase in expenditure by lo cal governments, according to the data. The government has taken measures to ensure that people's wellbeing and social security are not affected, the ministry said. Fiscal spending on urban and rural community services grew the fastest at 8 percent year on year. Spending on social security and employment increased by 4.2 percent. Spending on agriculture, forestry and water conservancy grew 6.8 percent. Source: Oman News Agency