Indicators
China Targets Record Deficit to Buffer Economy Against Tariffs
China has for decades tried to keep the official deficit at no more than 3% of GDP to demonstrate fiscal discipline.
Photographer: Raul Ariano/BloombergThis article is for subscribers only.
China raised its general budget deficit to the highest level in more than three decades, as Beijing ramps up spending to counter the effects of rising US tariffs.
The government set this year’s fiscal deficit target to 5.66 trillion yuan ($780 billion), or around 4% of gross domestic product, according to an annual work report Premier Li Qiang delivered to the national parliament on Wednesday.