China's fiscal revenue slipped 2.7 percent in the first four months of 2024 from a year earlier, after a 2.3 percent slide in the January-March period, in a further sign of an uneven economic recovery.
Fiscal expenditure rose 3.5 percent in the first four
months, versus a 2.9 percent gain in the first quarter, according to finance
ministry data released on Monday.
For April alone, fiscal revenue fell 3.7 percent against a
2.4 percent decline in March, while fiscal spending was up 6.1 percent,
compared with March's 2.9 percent fall, according to Reuters' calculations
based on the ministry data.
Excluding factors such as last year's high base and tax cut
policies, fiscal revenue in the first four months grew 2 percent, the ministry
said in a statement.
China has set an ambitious economic growth target of around
5 percent for this year, which many analysts say will be a challenge to meet as
prolonged weakness in the property sector and tepid consumer demand remain a
drag on the economy.
Factory output topped forecasts in April, helped by
improving external demand, but retail sales unexpectedly slowed and the
property sector remained a key drag on the economy, piling pressure on Beijing
to do more to support growth.
The expansion of outstanding total social financing (TSF), a
broad measure of credit and liquidity, hit a record low of 8.3 percent in
April, amid lagging government bond issuance.
China on Friday unveiled "historic" property easing measures and the finance ministry kicked off the issuance of 1 trillion yuan in long-dated special treasury bonds to stimulate key sectors of the economy. Reuters