China Cuts June Government Spending 11.9% as Fiscal Revenue Rises 1.8%
Updated
Updated · Bloomberg · Jul 22
China Cuts June Government Spending 11.9% as Fiscal Revenue Rises 1.8%
1 articles · Updated · Bloomberg · Jul 22
Summary
An 11.9% year-on-year drop in June government expenditure marked China’s steepest spending decline since October, signaling a further tightening in fiscal policy.
Ministry of Finance data showed the pullback came even as broad fiscal revenue rose 1.8%, suggesting Beijing is restraining outlays rather than being forced into cuts by weaker intake.
The contraction lands as calls grow for stronger policy support to shore up an economy facing slower growth, sharpening concern that fiscal policy is moving in the opposite direction.