Caixin
Caixin Global – Latest China News & Headlines

Home >

ABOUT US

CX Tech is Caixin Global's real-time tech news portal, featuring 24-hour news, short-form analysis, and roundups from business and tech media in China.

LATEST
Huawei to Establish Biggest-Ever Overseas Flagship Store in Riyadh
China’s First High-School Education Group Files for $100m US IPO
Danish Pension PBU Backs First Close of New SE Asia-Focused Women’s Fund
Tencent Music to Buy Audiobook Platform Lazy Audio for $416 million
Shanghai-Based Robot Developer Closes $46 Million Funding Round
Trending in China: Top Broadcast Exec Questions if Esports Are Really a Sport – Cue Heated Debate
Chinese Video Streamer iQiyi Targets U.S. Market With Animation on Nickelodeon
Chinese Majority Owned Lotus Announce EV Sports Car Venture With Renault’s Alpine
Chinese New Film Materials Maker HIUV on Track to Raise $227m in STAR Market IPO
Jordan Slam Dunks on Copycat Chinese Sportswear Brand Forcing Them to Change Their Name
Trending in China: Will ‘Chinese Baijiu’ Name Change Propel It To Global Dominance?
EHang Pioneers Self-Flying Drones for Tourists in Greater Bay Area City
TCL Squashes Rumours it is Withdrawing From North America Amid Empty Shelves
Chinese PE Fund Manager CICC Capital Secures $649m Second Close of Biomedicine Fund
WeRide Receives $310 Million as Beijing Opens Highways to Autonomous Car Tests
China’s Orchid Asia Leads Funding in Delivery Platform Fantuan, Edtech Startup Ivydad
U.S.-Listed Video Streamer Bilibili Files for Secondary Listing in Hong Kong, CNBC Reports
Dining Delivery Pay Dispute Leads Man to Set Himself on Fire
PayPal Becomes First Foreign Company to Offer Digital Payments in China
Tesla Rival Xpeng Motors Into New Year Fueled By New Credit Line
Government Revenue Growth Dips to More Than Three-Decade Low

By Guo Yingzhe and Cheng Siwei / Feb 11, 2020 01:13 PM / Economy

Photo: VCG

Photo: VCG

China’s fiscal revenue grew at the slowest pace since 1987 last year amid slowing economic growth and big tax and fee cuts, official data showed Monday.

Fiscal revenue grew 3.8% to 19 trillion yuan ($2.7 trillion) in 2019, according to (link in Chinese) the Ministry of Finance, missing the annual target of 5% growth. It was 2.4 percentage points lower than the revenue growth for 2018 and the second consecutive annual slowdown.

The central government collected 4.5% more revenue than the previous year, while local governments collected 3.2% more. This meant they missed the officially set growth targets of 5.1% and 4.9%.

Tax and fee cuts are the major reason for the revenue slowdown, the finance ministry said. Tax revenue for 2019 rose only 1%, 7.3 percentage points lower than the previous year. China cut taxes and fees by over 2.3 trillion yuan last year in order to ease corporate burden and shore up the slowing economy.

As tax cuts hit government revenue, authorities have resorted to other revenue sources to make up the funding shortfall, such as selling state-owned assets including land, and creaming off more profits from state-owned enterprises. Official data showed that nontax revenue in 2019 grew 20.2%, while it fell 4.7% the previous year.

Contact reporter Guo Yingzhe (yingzheguo@caixin.com)

Related: Local Governments Miss 2019 Revenue Targets

Share this article
Open WeChat and scan the QR code