Summary of the speech by the Minister of Finance

Work summary:

1. The deficit is 4.06 trillion, 1 trillion is in long-term national debt, and the public budget expenditure is 28.55 trillion. The fiscal expenditure continues to maintain a high intensity

2. Structural fee and tax reduction, R&D expense deduction, tax exemption and reduction for transformation of scientific and technological achievements, etc., with a scale of more than 1.8 trillion

3. Expand domestic demand, post-disaster reconstruction, promote large-scale equipment renewal and consumer goods replacement, expand investment areas, and issue 3.6 trillion new special bonds

4. Strengthen key areas of protection, strictly control general expenditures, ensure basic people's livelihood, wages and operation, supplement local financial resources, and support local governments to ensure the bottom line of the three guarantees

5. Increase efforts to support basic people's livelihood security, employment, education expenditure exceeds 3 trillion, increase basic pension standards, public health service standards and urban and rural medical assistance standards (adapt to population changes and further increase expenditures in related fields)

6. Control local debt risks, debt reduction measures, arrange 1.2 trillion yuan to support debt reduction and clear corporate arrears, debt risk mitigation, and debt reduction has basically achieved phased results

Judgment on the fundamentals:

1. Strong resilience and great potential

2. It is expected that the growth rate of national public budget revenue will be lower than expected, and the fiscal revenue will have enough resilience to achieve a balance between revenue and expenditure and complete the annual budget target

A package of measures to stabilize growth:

All are incremental policies

1. Increase support for local debt reduction, give more quotas, and let local governments promote development and protect people's livelihood

2. Special treasury bonds support large state-owned banks to supplement Tier 1 capital

3. Superimpose local special bonds, special funds, tax policies, etc. to support the real estate market to stop falling and stabilize

4. Support people's livelihood, and increase rewards and assistance for students in the next step

5. Countercyclical adjustments are not limited to these. The above four points have entered the decision-making process, and there are more to come, such as central fiscal debt and deficit increase space.