Improving Efficiency and Implementing Proactive Fiscal Policy

　　At the closing meeting of the Fifth Session of the 13th National People's Congress yesterday (11th), the budget report for 2022 was voted and passed.

This year's budget report focuses on stabilizing the macroeconomic market, keeping the economy operating within a reasonable range, and enhancing the effectiveness of proactive fiscal policies.

Let's open this heavy national ledger together and take a look at how heavy this year's national purse is.

　　In 2022, the national general public budget revenue will exceed 21 trillion yuan

　　Just as the "little family" of our common people needs to calculate their income for a year, the "everyone" in our country has to make a certain income and expenditure plan for this year every year.

According to the budget report, in 2022, by summarizing the central and local budgets, the national general public budget revenue will be 21,014 billion yuan, an increase of 3.8%.

Adding in the transferred funds and the use of the carry-over balance of 2328.5 billion yuan, the total revenue is 23342.5 billion yuan.

The national general public budget expenditure was 26712.5 billion yuan, an increase of more than 2 trillion yuan over the previous year, an increase of 8.4%.

The deficit is 3,370 billion yuan, 200 billion yuan less than in 2021.

　　Liu Shangxi, President of the Chinese Academy of Fiscal Sciences: This year's fiscal revenue and expenditure arrangements are more appropriate.

Judging from the arrangement of the revenue budget, the growth of 3.8% is in line with the expected economic growth of 5.5%.

The growth of fiscal expenditure should take into account the needs of various public services and the need to support the "six stability and six guarantees", so it is necessary to maintain a certain expenditure intensity.

　　Liu Qiao, Dean of the Guanghua School of Management, Peking University: We are now in the formation stage of a new kinetic energy. These key industries that form new kinetic energy, such as carbon neutrality or some industries related to digital transformation, actually have a lot of investment to do. , active fiscal policy itself can play this role.

　　The trend of proactive fiscal policy remains unchanged, but the positive keywords have changed, from "improving quality and efficiency, more sustainable" in 2021 to "improving efficiency, focusing more on precision and sustainability".

　　Liu Shangxi, President of the Chinese Academy of Fiscal Sciences: The current budget has reached 26 trillion, so how to allocate and use such a large amount of financial resources?

Need to work on precision.

Only if the precision is more scientific, the effectiveness of fiscal policy can play a greater role in "six stability and six guarantees" and promote the sustainability of fiscal policy.

　　The deficit rate for enhancing sustainability is planned to be around 2.8%

　　One of the indicators of active fiscal policy is the deficit ratio, which is an important indicator for measuring fiscal risk internationally.

It is generally believed that the implementation of active finance should raise the deficit rate.

However, according to the government work report voted on yesterday, the deficit rate is planned to be around 2.8% in 2022, down 0.4 percentage points from last year's budget.

Why is this?

　　To know what a deficit ratio is, you must first know what a deficit is.

Simply put, the fiscal deficit is the difference between the total fiscal revenue and expenditure.

The deficit ratio refers to the proportion of the fiscal deficit in a certain period of time to the GDP of the same period.

　　In my country, due to the establishment of a cross-year budget balance mechanism and other reasons, when calculating the fiscal deficit, in addition to subtracting the fiscal expenditure of the current year from fiscal revenue, it is also necessary to consider the use of budget stabilization funds, government fund budgets and state-owned capital operating budgets Factors such as the transfer of funds and the use of carry-over balances.

　　Taking 2021 as an example, the national fiscal deficit in that year is 3570 billion yuan, which is the difference between the total national fiscal expenditure of 24995.24 billion yuan and the total national fiscal revenue of 21425.24 billion yuan.

Based on this calculation, in 2021, the deficit of 3.57 trillion yuan is divided by the GDP of 114 trillion yuan, and the deficit rate for that year is 3.1%.

　　This year, my country plans to set the deficit rate at around 2.8%, which is the third consecutive year of lowering the deficit rate and a lower level since 2017.

In the context of implementing active finance, what is going on here?

　　Liu Shangxi, President of the Chinese Academy of Fiscal Sciences: The deficit rate has been reduced, which leaves room for policy in the future, and also considers that fiscal policy is more sustainable.

A fall in the deficit rate does not imply a fall in spending intensity.

　　Zhu Qing, a professor at the School of Finance of Renmin University of China: According to the scale of the current fiscal expenditure increase of 2 trillion this year, this year's fiscal expenditure will account for 22% of GDP, an increase of 0.5 percentage points over last year.

　　According to experts, although the deficit rate this year is arranged at about 2.8%, the scale of funds will be reduced by 200 billion yuan.

However, through inter-annual adjustment, the funds transferred from the central government’s own finances into the general budget alone amounted to 1.267 trillion yuan, 6.6 times that of last year. This amount of funds is equivalent to raising the deficit rate by 1 percentage point.

Moreover, the national general public budget expenditure arrangement exceeded 26 trillion yuan, more than 2 trillion yuan more than last year, which guaranteed the intensity of fiscal expenditure.

Therefore, an appropriate reduction in the deficit rate can not only enhance the sustainability of the finances, but also will not affect the expenditure intensity of our country's finances.

　　Arrange for a new quota of 3.65 trillion yuan for local government special bonds

　　According to the government work report voted on yesterday, a new quota of 3.65 trillion yuan for local government special bonds has been arranged this year, of which 1.46 trillion yuan has been issued in advance.

Since the beginning of this year, the issuance of special bonds has accelerated significantly year-on-year, effectively guaranteeing the construction of key projects and driving the expansion of effective investment.

　　The data shows that from 2017 to 2022, my country has significantly expanded the new limit of local government special debt. In 2017, it was only 800 billion yuan. Since 2020, it has exceeded 3 trillion yuan. This year and last year maintained the same level. remained at 3.65 trillion yuan.

　　Luo Zhiheng, Deputy Dean of Yuekai Securities Research Institute: It can help to implement our general tone of “seeking progress while maintaining stability and taking the lead in stability, and play the role of finance in stabilizing investment and growth in us.”

　　According to data from the Ministry of Finance, as of the end of January this year, 484 billion yuan of new special bonds had been issued in various regions, and the progress of issuance was significantly accelerated year-on-year, which effectively guaranteed the construction of key projects and led to the expansion of effective investment.

　　Special debt funds support the renovation of shanty towns, improve the living conditions of villagers, and drive the upstream and downstream industrial chains

　　In Xingtai, Hebei, the shanty town renovation project in Dalu area is stepping up the completion of road construction and greening work in the community.

Local villagers who are about to move into their new homes will come to the construction site to see the construction progress of their houses whenever they are free.

　　Wang Lin, a villager in Dalu Village, Xingdong New District, Xingtai City: There is a high-speed rail station in front of the house, and the transportation is also convenient. There is also a community cultural station on the other side of the community.

　　Mao Quande, a villager from Dalu Village, Xingdong New District, Xingtai City: The apartment type is very good and the quality is very satisfactory. The house used to be a one-story house, which is incomparable with the current environment. The collective heating, elevators, kindergartens, and various facilities are relatively good, catching up with the citizens. Lives, farmers become citizens, of course, the mood is better.

　　In September 2018, the renovation of shanty towns in the Dalu area was launched. After the project is completed, it will not only improve the living conditions of the 1,254 villagers in the village, but also benefit the surrounding people and stimulate economic growth.

Behind the smooth progress of the project, the support of special debt funds is inseparable.

　　Geng Junli, deputy director of the Party Working Committee of Xingdong New District, Xingtai City, Hebei Province: The special debt we got is 500 million yuan, which can be raised to 1.2 billion yuan (social investment) to drive upstream and downstream, such as its building materials, decoration, transportation, We can pull at least 2 billion yuan from the upstream industry. For the promotion of the development of the entire area of ​​our new area, the pulling effect of the upstream and downstream industry chain is quite huge.

　　Wu Hao, Deputy Director of the Government Debt and Bonds Division of the Hebei Provincial Department of Finance: The Ministry of Finance has issued the first batch of new special debt limits of 76.6 billion yuan in our province in 2022, and all cities and counties have been issued. , The transformation of shanty towns and old communities, and the investment in health care, education and other livelihood areas accounted for nearly 60%.

Strive to complete the issuance of all issued quotas in the first quarter.

　　According to the budget report, local government special bonds will appropriately increase the concentration of use, favor areas with adequate project preparation, and speed up the issuance and use of bonds.

Focus on major national strategic deployments, support the advancement of projects in transportation, energy, water conservancy and other fields, and give full play to the leading role of government investment guidance.

　　(CCTV reporter Wang Nan, Wang Xuan, Du Leiming, Hebei TV)