Make proactive fiscal policies more proactive
The Politburo meeting of the CPC Central Committee held on July 30 pointed out that it is necessary to ensure that macro policies are implemented and effective. Fiscal policy should be more proactive and effective, focusing on practical results. It is necessary to guarantee funds for the construction of major projects and focus on quality and efficiency.
Raise the deficit rate, issue special national debts to fight the epidemic, expand the scale of special debts, increase tax cuts and fee reductions... Since the beginning of this year, China has adhered to a proactive fiscal policy and has become more proactive. The mission of “protection” is to hedge the impact of the epidemic with greater policy intensity and truly play a key role in stabilizing the economy.
As of July 31, the anti-epidemic special treasury bond has successfully completed the issuance of 1 trillion yuan; new local government special bonds have been issued 2.266.1 billion yuan, completing 60.4% of the annual plan, and promoting the construction of a batch of special bond major projects. In the first half of the year, a total of 154.5 billion new tax cuts and fee reductions nationwide have effectively hedged the impact of the epidemic, and played an important role in alleviating business difficulties, supporting the resumption of work and production, and the stable operation of the economy.
In the second half of the year, how will fiscal policy continue to exert force? "We will continue to implement a more proactive fiscal policy in accordance with the Party Central Committee's decision and deployment, and strive to achieve a reasonable increase in the amount of economic development and a steady improvement in quality." said Liu Kun, Minister of Finance.
A series of important fiscal policies have been introduced in the first half of the year and implemented promptly. In the second half of the year, we must ensure that the policies are implemented and effective. "Under the new pattern of "dual cycle" development, fiscal policy should actively play a role to promote economic stability and long-term development, especially focusing on the "six stability and six guarantees", focusing on practical results, and implementing special national debt, special debt, and reduction. Policy measures such as tax reduction and fee reduction have fully released policy dividends.” said Li Xuhong, director of the Institute of Finance and Taxation Policy and Application of Beijing National Accounting Institute.
In terms of ensuring the employment of residents, we must do everything possible to stabilize and expand employment, make better use of the role of fiscal policy in stimulating employment, and support the employment of key groups such as college graduates, migrant workers, and veterans. It is necessary to coordinate the use of employment subsidy funds, special account funds for vocational skills improvement activities, and unemployment insurance funds, make good use of special national debts for the fight against the epidemic and special local government bonds, and focus on supporting projects that drive strong employability to make up for shortcomings, and develop more jobs post.
In terms of safeguarding basic people’s livelihood, the focus is to do a good job of inclusive, basic and comprehensive people’s livelihood, and to further protect and improve people’s livelihood. Resolutely win the battle against poverty, adhere to the current standards of poverty alleviation goals, continue to strengthen financial investment protection, refine financial requirements and ensure funding for the work of filling gaps, shortcomings, and loopholes.
This year, my country has stepped up its efforts to reduce taxes and fees, and it is estimated that this year will reduce the burden of market players by more than 2.5 trillion yuan. In the second half of the year, focusing on the goal of preserving hundreds of millions of market players, we will continue to implement various tax and fee reduction policies and measures, focusing on supporting the relief and development of small, medium and micro enterprises and industries that have been hit harder by the epidemic.
Li Xuhong believes that due to the impact of the epidemic, some small, medium and micro enterprises are still facing great difficulties. Tax reduction and fee reduction measures such as delaying income tax payment and extending the phased reduction and exemption of social security payment policies are very important. The implementation of the detailed measures in the second half of the year will enable enterprises to enjoy them. Policy dividend.
Since the beginning of this year, the issuance and use of special bonds by local governments have been accelerated, and bond funds have been used in major infrastructure and livelihood services in various regions, effectively playing the role of stabilizing investment and making up for shortcomings. Feng Beilin, deputy director and researcher of the Financial Research Center of the Chinese Academy of Fiscal Sciences, believes that in the next step, local governments should continue to speed up the issuance and use of special bonds, while strengthening management and strict use of funds to improve the efficiency of capital use. "It is recommended to actively develop new compliance projects in accordance with the national development strategy and market orientation, do a good job in project reserve management, and provide sufficient project resources for the issuance of local bonds." Feng Beilin believes that the medium and long-term management of special bonds should also be done. Especially for inter-period projects, it is necessary to do a good job in the full-cycle management of the project, achieve the balance of the project's inter-period budget, and ensure the sustainability of the project. (Economic Daily-China Economic Net reporter Zeng Jinhua)