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China To Allocate 100b Yuan To Expand Domestic Demand

By Zhang Chenxu | chinadaily.com.cn | Updated: 2026-03-06   

 China will allocate 100 billion yuan ($15.4 billion) this year under a package of coordinated fiscal-financial policies to facilitate domestic demand expansion, Minister of Finance Lan Fo’an said on Friday in Beijing.

 Under the package, four targeted measures are designed for supporting private investment, while two are for boosting household consumption, Lan said, adding that the authorities will integrate policy instruments, such as loan interest subsidies, financing guarantees, and risk compensation mechanisms, to fully leverage the effects of the policies.

 Lan made the remarks at a news conference on the economy during the ongoing fourth session of the 14th National People’s Congress, the country’s top legislature.

Specifically, the fiscal authorities will establish operational frameworks and allocate capital, the financial sector will ensure liquidity provision, while relevant government departments — including the Ministry of Industry and Information Technology — will curate and recommend project lists, he said.

 The aim is to effectively mobilize broader social capital toward key sectors critical to expanding domestic demand, he added.

 Preliminary estimates indicate that the fiscal inputs can catalyze credit flows reaching the trillion-yuan level, Lan said.

 

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