China Expands Local Governments' Fiscal Power

China announces plans to increase local governments' fiscal capacity and tax sources. Concurrently, the central government will also escalate its fiscal responsibilities. Han Wenxiu, a senior party official, made the announcement following a central party meeting.

China will increase local governments' autonomous fiscal capacity and expand tax sources for local governments, said a senior party official for financial and economic affairs on Friday.

The central government will also increase its fiscal spending obligations, according to Han Wenxiu, deputy director in charge of the party's financial and economic affairs. This announcement was made during a press conference in Beijing following a key party meeting that closed on Thursday.