The Ministry of Finance interprets the bottom line of “three guarantees” at grassroots level and the effect of benefiting enterprises and people

2022-05-12 0 By Finance and Economics, January 25 — The State Council Information Office held a press conference on the afternoon of January 25, Vice Minister of Finance Xu Hongcai introduced the fiscal revenue and expenditure of 2021, and answered reporters’ questions.Q: Just now you briefed us on the revenue and expenditure of the 2021 national budgets. In general, how did the 2021 national budgets go?What achievements have been made in securing the bottom line of “three guarantees” at the grassroots level and benefiting enterprises and the people?thank youVice Finance Minister Xu Hongcai: JUST now I briefed you on the overall situation, and I will elaborate on the details.Overall, the fiscal revenue and expenditure in 2021 is in line with expectations.In terms of fiscal revenue, revenue in the national general public budget achieved a recovery of growth, and the budget was met and revenue exceeded to a certain extent.Revenue in the general public budget exceeded 20 trillion yuan by 20.25 trillion yuan, including 17.27 trillion yuan in tax revenue, an increase of 11.9%.Non-tax revenue was 2.98 trillion yuan, up 4.2%, with tax revenue accounting for the bulk of the increase.The main reason for the increase in government revenue is the sustained and steady economic recovery and price increases, and the effective implementation of various tax and fee reduction policies in 2021. Revenue was not increased by increasing the tax burden on market entities.As I said just now, we also implemented some measures to allow enterprises to enjoy tax benefits ahead of schedule or to extend tax relief to certain industries. This was done on the basis that all tax and fee cuts were effectively implemented. This shows that China’s economic recovery has indeed reached a new level.In terms of government expenditure, expenditure in the general public budget was 24.63 trillion yuan, an increase of 0.3%.Expenditures at the central level decreased by 0.1 percent, while expenditures at local governments increased by 0.3 percent.Central government expenditures totaled 3.5 trillion yuan. After deducting expenditures for national defense, the armed police, interest payments on bond issuance, and reserves, expenditures by central government departments fell by 8.2%.This is also in accordance with the requirements of the central government. Central government departments have cut expenditures and tightened their belts, freeing up more funds to support local governments and communities.In terms of spending structure, spending in key areas was effectively guaranteed. The growth in education, science and technology, social security and employment increased by 3.5%, 7.2% and 3.4% respectively, all higher than the overall growth in spending.Just now, you mentioned the issue of social security, compulsory care, and social security at the community level.In 2021, the Ministry of Finance will continue to improve the mechanism for ensuring basic financial resources at the county level, and make early plans, arrangements, and early warnings and monitoring of the work related to the three guarantees.With the joint efforts of financial departments at all levels, the overall situation of county level “three guarantees” is relatively good.The measures we have taken are as follows: First, we will increase transfer payments.In recent years, the central government has continued to reduce spending at the central government level, concentrating its financial resources to increase transfer payments to local governments, and giving priority to the central and western regions and the community level.In 2021, transfer payments to ensure equal access to local resources will reach 1.89 trillion yuan, up 10.1%; awards and subsidies under the mechanism for ensuring basic funding for county-level governments will reach 337.3 billion yuan, up 13.2%; transfer payments to old revolutionary base areas, ethnic minority areas, border areas and poor areas will reach 302.7 billion yuan, up 8.5%; and transfer payments to key ecological function zones will reach 88.2 billion yuan, up 11%.The money is mostly general transfer payments and is not earmarked for any specific purpose, so local governments can use it to bolster the finances of struggling regions.These measures provide a strong financial guarantee for local governments to do a good job in their work related to the three guarantees at the grassroots level.Second, we will constantly improve incentive and restraint mechanisms.Balance transfers, mechanism for ensuring basic funding for county level prize money transfers, such as would promote financial equilibrium under provincial distribution, to promote financial sinking, as one of the policy goals, such as strengthen to provincial counties in financial security, raise the level of financial resources at the county level and equilibrium degree of effect is apparent, the financial resources to basic tilt work done better, reward in the allocation of funds,Positive excitation.We have analyzed that the proportion of county-level financial resources in local financial resources has increased significantly in recent years.Third, we will continue to strengthen work guidance.We urged local governments to strengthen budget management, and required them to prioritize spending on social security, agriculture, and rural residents, and ensure that teachers and other key groups receive their salaries and pensions on time, and resolutely eliminate problems such as default.Local governments are required to follow the principle of “giving priority to the county level while provincial-level governments are in the bottom line.” County-level finance departments should ensure that their budgets for the three insurance programs, including the three insurance programs, are prepared in full and item by item, and provincial-level finance departments should check and verify their budgets for the three insurance programs at the county level.At the same time, through direct funds, strengthen the Treasury management, to ensure that the county level “three guarantees” have sufficient funds.Fourth, we established a monitoring mechanism for local financial operations.Provincial financial departments are required to monitor the counties and districts with high pressure of revenue and expenditure, high debt risk, large scale of temporary payment and low level of Treasury security.Treasury has direct control of key counties.Find problems, timely warning.We will promptly urge individual counties and districts to rectify problems found in audit supervision and daily monitoring that they fail to provide adequate insurance in a timely manner.From the implementation of the situation, local financial departments take the initiative to consolidate their responsibilities and take a series of measures.Some localities have thoroughly examined the budgets of counties and districts, and those counties that have problems in their budgetary arrangements for the purchase, purchase, and protection of agriculture, agriculture, and rural areas have been turned back and asked to readjust their budgets.Some localities have set up emergency funds at the grass-roots level to provide emergency funds to support the temporary payment risks of the three guarantees at the county level.Some localities have set up a ledger for monitoring expenditures at the county level, implemented the “weekly scheduling and daily supervision” policy, focused on tracking the implementation of community-level expenditures, and conducted checks on the payment of salaries to key groups such as teachers in compulsory education.On the whole, thanks to the joint efforts of financial departments at all levels, the financial resources at the grassroots level have continued to increase, the expenditure on the “three guarantees” at the county level has been effectively guaranteed, no major risk incidents have occurred, and the policies benefiting enterprises and the people have been effectively implemented.Thank you very much!Disclaimer: This article is reproduced for the purpose of conveying more information.If the source is wrong or violated your legitimate rights and interests, please contact the author with proof of ownership, we will promptly correct, delete, thank you.Email address: