Henan Issues Policies to Promote Economic Growth in Q1 2024
The General Office of the Henan Provincial People’s Government has recently released a series of policies and measures aimed at boosting the economy in the first quarter of 2024. The measures are part of an effort to ensure a “good start” for the province’s economy in the new year.
Among the key initiatives outlined in the policy package is the issuance of a list of provincial key projects for 2024, with 100 major projects selected for significant investment and output value. Additionally, the government has established a special mechanism to ensure the smooth promotion and execution of these projects.
To further stimulate economic activity, the government is implementing the national vehicle purchase tax exemption policy for new energy vehicles. This move aims to encourage consumers to purchase new cars by providing subsidies amounting to 5% of the purchase price, with a maximum subsidy of 10,000 yuan per unit. The subsidies will be jointly provided by the provincial and municipal governments, with each contributing half of the subsidy amount.
Furthermore, the government will expedite the investment plan for additional government bond issuance projects, with the goal of starting construction on all planned projects by the end of June 2024. This acceleration of project construction is expected to generate more investment volume and physical goods, with priority given to regions that demonstrate high project start-up and fund disbursement rates.
To bolster consumer spending, the government is also encouraging localities to issue consumer coupons for a range of products and services, including household appliances, smart electronic products, home decoration, and agricultural products. Subsidies for booth fees, exhibition fees, and promotion activities will be provided, with the provincial finance department offering subsidies to various localities, capped at 30% of the total expenditure.
These policies and measures are designed to provide a solid foundation for economic growth in Henan province in the first quarter of 2024. By promoting investment in key projects, incentivizing consumer spending, and accelerating infrastructure development, the government aims to set the stage for a robust and prosperous year ahead.