China News Service, Beijing, January 18 (Reporter Zhao Jianhua) At the China News Service Forum "China Economic Situation Analysis Meeting" held on the 18th, Bai Jingming, a researcher and former vice president of the Chinese Academy of Fiscal Sciences, stated that the GDP scale was announced After that, the deficit rate last year was 3.7%, which was in line with expectations.
The 3.7% deficit rate not only ensures a reasonable stimulus to the economy, but also avoids excessive risks.
In addition to a deficit of 3.76 trillion yuan, my country also issued 3.75 trillion yuan in special bonds and 1 trillion yuan in anti-epidemic special treasury bonds last year.
The three together account for about 8% of GDP.
If you include the 2.5 trillion yuan tax cut and fee reduction, it will account for nearly 11% of GDP.
Bai Jingming said that fiscal expansion will help stabilize investment, consumption, and employment.
Bai Jingming introduced that during the "Thirteenth Five-Year Plan" period, a total of 7.6 trillion yuan of tax cuts and fees were cut across the country.
Among them, last year's tax cuts and fees exceeded 2.5 trillion yuan, accounting for more than 30%, which was the strongest year during the "13th Five-Year Plan" period.
The scale of tax cuts and fee reductions will account for about 2.5% of GDP in 2020. The intensity is very strong. No other country has such a high level as China.
Last year, market players faced difficulties, especially small and micro enterprises facing cash flow problems.
Tax cuts and fees are reduced, and profits are given to market entities, increasing their cash flow.
At the same time, it also stimulated consumption.
Last year, my country’s annual gross domestic product was 101,5986 billion yuan, an increase of 2.3% over the previous year at comparable prices.
In quarterly terms, the first quarter was down 6.8% year-on-year, the second quarter was up 3.2%, the third quarter was up 4.9%, and the fourth quarter was up 6.5%.
Bai Jingming said that China’s global economic performance has boosted confidence, and the advantages of the socialist system with Chinese characteristics have been fully demonstrated, making us more confident on the road.
According to Bai Jingming's analysis, the state's policy of supporting economic growth last year was strong and it was a manifestation of the superiority of the socialist system.
Among them, the proactive fiscal policy, in addition to the above-mentioned deficits, tax cuts and fee reductions, is more critical in that it is quickly introduced and implemented in a timely manner, and the policy is highly effective.
In response to the impact of the epidemic, Western countries have implemented monetary easing and other stimulus policies.
But regardless of fiscal policy or monetary policy, Western countries have not implemented China as fast as China. China is very time-sensitive and money can be released immediately.
In terms of tax reduction and fee reduction, my country successively introduced 7 batches of 28 tax and fee preferential policies last year, which quickly released policy dividends and strengthened the stamina of enterprise development.
Regarding 2021, Bai Jingming said that my country is still in a period of strategic opportunities, and this year's growth rate will exceed 2020. China's base is relatively large, and economic growth is supported by material expenditure. The speed of economic growth depends on the grasp of two markets and two cycles at home and abroad. At the same time, the foundation for economic recovery is not yet solid, and there are strong and weak points to make up for the shortcomings, and macroeconomic policies must maintain continuity, stability, and sustainability. A proactive fiscal policy must maintain the necessary support for economic recovery. (Finish)