China’s fiscal revenue up 7.4% in 2017

2018-01-25
Xinhua

BEIJING — China’s fiscal revenue rose 7.4 percent year on year to 17.3 trillion yuan ($2.7 trillion) last year on the back of stronger-than-expected economic growth, official data showed on Jan 25.

The growth was markedly above the 4.5-percent rate in 2016, according to the Ministry of Finance website.

The central government collected more than 8.1 trillion yuan in fiscal revenue, up 7.1 percent year on year, while local governments saw fiscal revenue expand 7.7 percent to top 9.1 trillion yuan.

The ministry attributed the strong growth to the country’s improving economy, rising industrial prices, effective supply-side structural reforms, and other supportive policies.

The country’s economy expanded 6.9 percent in 2017, with the pace of growth accelerating for the first time since 2011.

With the economy on a firm footing and fiscal revenue increasing, economists expect China to continue its efforts in tax reduction to lower business costs and sustain the strength of economic recovery.

Revenue from taxes expanded 10.7 percent year on year to 14.4 trillion yuan while that from nontax incomes dropped 6.9 percent to 2.8 trillion yuan.

Income from value-added tax increased 8 percent year-on-year to 5.6 trillion yuan, while the corporate income tax and personal income tax both saw faster growth of 11.3 percent and 18.6 percent, respectively.

Last year, fiscal spending rose 7.7 percent year on year to 20.3 trillion yuan. Expenditures on energy-saving projects rose 19.8 percent to 567.2 billion yuan.

China pledged to continue to implement a proactive fiscal policy in 2018.