China’s municipal governments are usually not only a public service provider but also the owner and operator of the region’s largest infrastructure projects, key industrial enterprises and local financial institutions. Photo: Xinhua

China to give local governments bigger share of tax revenues to continue crucial infrastructure investments

  • Local governments will receive 50 per cent of the country’s value-added tax revenue, as well as a share of income from sales taxes, according to China’s State Council
  • Shanghai was the only one of 31 mainland provincial-level regions not to report a fiscal deficit in the first half of 2019
Topic |   China economy

TOP PICKS

China’s municipal governments are usually not only a public service provider but also the owner and operator of the region’s largest infrastructure projects, key industrial enterprises and local financial institutions. Photo: Xinhua
READ FULL ARTICLE
The publication of the World Bank’s new forecasts came as a top-level Chinese delegation led by Vice-Premier Liu He is due to meet their American counterparts later on Thursday in Washington for a new round of talks in hopes of easing trade tensions. Photo: Bloomberg

China’s growth outlook cut by World Bank as US trade war continues to weigh on economy

  • The Washington-based World Bank cuts China’s 2019 gross domestic product forecast to 6.1 per cent, just above the bottom-end of the government’s target range
  • China’s headline growth forecast for next year is also cut by 0.3 percentage points to 5.9 per cent, with the World Bank predicting a drop to 5.8 per cent in 2021
Topic |   China economy

TOP PICKS

The publication of the World Bank’s new forecasts came as a top-level Chinese delegation led by Vice-Premier Liu He is due to meet their American counterparts later on Thursday in Washington for a new round of talks in hopes of easing trade tensions. Photo: Bloomberg
READ FULL ARTICLE