China's Tax Refund Scheme: A Boon for Foreign Tourists

China plans to enhance tax refund policies for foreign tourists to stimulate inbound spending as domestic demand lags. The reforms will expand tax refund options in major commercial areas and lower the minimum refund amount from 500 to 200 yuan to entice more tourists.

In a strategic move to spur economic growth, China announced an update to its tax refund policies targeting foreign tourists. This initiative aims to stimulate inbound consumption, counteracting tepid domestic demand.

According to a joint statement from the commerce ministry and other departments, the expansion of tax refund stores will be prioritized in key shopping zones, scenic areas, airports, and hotels.

Notably, the minimum refund point for overseas travelers in a single tax-refund shop on the same day will be reduced to 200 yuan, down from 500 yuan. This is part of China's broader strategy to attract more foreign tourists and boost the economy.

(With inputs from agencies.)