Chinese Cities Slash Spending as Revenue Declines

Multiple Chinese cities are cutting second-half spending in anticipation of revenue declines resulting from pandemic controls and tax reductions.

The government of southwest China’s Chongqing city plans to cut 5 billion yuan ($746 million) of planned general public spending, according to its second-half budget published in mid-June. The government said the savings will add to a budget stabilization fund to make up for the shortfall in revenue in the second half.