China’s fiscal policy maintains sufficient flexibility to address evolving economic challenges while fostering sustainable growth, Finance Minister Lan Fo’an affirmed Friday. The announcement underscores Beijing’s strategic approach to balancing risk management with targeted stimulus measures amid global economic uncertainties.
Speaking at a high-level economic forum, Lan emphasized that policymakers will prioritize structural reforms to enhance market vitality while safeguarding fiscal sustainability. This dual focus aims to stabilize key sectors, including advanced manufacturing and green energy, which are central to China’s long-term development goals.
Analysts suggest the measured approach reflects China’s capacity to deploy policy tools such as tax incentives and special bond issuances if needed. The strategy aligns with broader efforts to boost domestic consumption and attract overseas investment in technology-driven industries.
With Asia contributing over 60% of global growth in 2024, China’s fiscal decisions carry significant regional implications. Business leaders and investors are closely monitoring potential sector-specific measures ahead of key policy meetings later this quarter.
