Shaanxi Province Reports Stable Financial Operation in the First Half of 2023
On August 3, the Information Office of the Provincial Government in Shaanxi Province held a press conference to announce the financial operation of the province in the first half of the year. The report highlighted that the financial situation was generally stable and various key tasks were carried out smoothly and in an orderly manner.
According to the report, the general public budget revenue for the first half of the year was 185.67 billion yuan, marking an 8% increase compared to the same period last year. Tax revenue accounted for 144.17 billion yuan, showing a growth of 8.1% year-on-year. Additionally, non-tax revenue amounted to 41.5 billion yuan, representing a year-on-year increase of 7.8%. The domestic value-added tax in the province contributed significantly to this growth, reaching 53.03 billion yuan, which was a substantial increase of 71.2% from the previous year.
In terms of general public budget expenditure, the province spent a total of 372.09 billion yuan in the first half of the year, reflecting a 6.1% increase compared to the same period in 2022. Major expenditure items such as education, science and technology, social security and employment, healthcare, energy conservation and environmental protection, and urban and rural community expenses saw respective increases of 4.1%, 55.1%, 14.3%, 8.6%, 8.5%, and 4.5% year-on-year.
The Provincial Department of Finance actively responded to unfavorable factors, including the prices of coal and other bulk commodities, to ensure the smooth operation of the economy. The province achieved 54.4% of its general public budget revenue target for the year, and its general public budget expenditure reached 52.7% of the adjusted budget, demonstrating a successful “double half”. The Department of Finance also focused on optimizing the fiscal expenditure structure to prioritize key sectors such as county economy, private economy, open economy, and digital economy development. They also increased support for basic people’s livelihood, scientific research, and ecological environmental protection. Additionally, the department enhanced budget execution management and improved the efficiency of fund payment.
To support enterprise development and boost vitality, the Provincial Department of Finance implemented tax reduction and exemption policies. They provided tax rebates and fee reductions of 20.32 billion yuan, aimed at reducing the burden on businesses and stimulating growth. The department also improved government financing guarantee rewards and risk compensation policies. The new guarantee business scale of financing guarantee institutions reached 53.97 billion yuan, with 93% of beneficiaries being small-scale and agricultural-supporting businesses. The average guarantee fee rate was 0.67%, significantly lower than the average rate of 2.5% for commercial financing guarantee institutions. These measures aimed to facilitate the flow of financial resources to small, medium, and micro enterprises.
Looking ahead, Shaanxi Province plans to issue 89.5 billion yuan in new special bonds by 2023. In the first half of this year, 67.55 billion yuan worth of bonds had already been issued, achieving a progress rate of 75.5%. This has effectively secured funding for crucial projects such as the third phase of Xi’an Xianyang International Airport, Dongzhuang Reservoir, and Qin Chuangyuan. The Provincial Department of Finance has followed the principle of “funds follow the project” by guiding municipalities to select the best projects and ensuring the immediate use of bond funds. The department also prioritizes the budget management of the “three guarantees” (food, clothing, and housing), ensuring that there is no gap in funding. In the first half of the year, expenditure on the “three guarantees” in counties and districts reached 100.95 billion yuan, completing 51.7% of the initial budget.
Overall, the stable financial operation in Shaanxi Province in the first half of 2023 demonstrates the government’s commitment to economic development and the welfare of its residents. With effective fiscal management and targeted policies, the province is on track to achieve its economic goals for the year.
Note: This news article was reported by Su Yi and intern Li Yatong.