(Shenzhen Comprehensive News) Lou Jiwei, the director of the Global Wealth Management Forum and former Minister of Finance of China, recently believed that there is still room for interest rate cuts and rangers for Chinese monetary policy. It is recommended that the deficit rate in 2024 remains about 3.8%.
Comprehensive Securities Times, Beijing News, etc., Lou Jiwei pointed out at the 2023 meeting of the 50 -member Forum of Wealth Management of Wealth Management last Saturday (December 23) that China ’s national fiscal deficit rate rate was adjusted from 3%in October this year.About 3.8%, the first adjustment in 25 years.According to the requirements of "moderate forces" in fiscal policy, he suggested that the deficit rate rate next year is best to remain at about 3.8%.
Lou Jiwei said that fiscal expenditure should avoid traditional large -scale public investment, and focus on increasing general expenditure.Different from the expansion fiscal policy adopted during the financial crisis in the past, China's current economic recovery ratio is mainly lagging behind in developed countries. Facing the "scar effect" in the post -epidemic era, it is necessary to accurately apply policies, attach importance to employment and improve people's livelihood, and strive to promote private investment.
He mentioned that the financing costs of private small and micro enterprises in China are still high, and the risk premium should be reduced through scientific and technological finance, and the financial guarantee fund can be used to solve the financing problem.He suggested that increasing fiscal expenditure should be more used to support downstream companies and small and micro enterprises in the manufacturing industry, such as phased subsidy rent and hydropower, and even providing salary subsidies to increasing enterprises.
Lou Jiwei also proposed that local governments can appropriately increase fiscal deficits to repay the debate of enterprises, which helps increase government credibility, enhance market confidence, and expand civil investment.
Reuters earlier reported that Chinese Leadership Conference of the Central Economic Work Conference of the YearAdvanced , the budget deficit in 2024 will be controlled within 3%of the GDP.It is reported that the newly established deficit indicates that Beijing intends to maintain fiscal discipline and will not consider implementing the "rocket launcher" stimulus policy next year.
