China Plans Higher Budget Deficit in 2013 to Support Demand

China Plans Higher Budget Deficit in 2013 to Support Demand

Tomohiro Ohsumi/Bloomberg

Traffic moves under elevated roads at night in Shanghai. The larger fiscal deficit indicates China’s incoming leaders may step up efforts to support expansion and address income inequality with growth likely to stay below the annual average of 10.5 percent under President Hu Jintao and Premier Wen Jiabao.