How can fiscal policy become more proactive? Lan Fo'an: Provide sufficient funding scale and amplify policy coordination effects

** Caixin News ** In 2026, the deficit rate will remain at a historical high of around 4%. Ultra-long special bonds and local government专项 bonds will stay at high levels, and a 100 billion yuan fiscal and financial coordination fund to promote domestic demand will be launched. Minister of Finance Lan Fuan stated at the March 6 economic press conference that in 2026, a more proactive fiscal policy will continue to be implemented, reflected not only in the scale of funds and sufficient policy strength but also in strengthening policy coordination to further amplify effects.

Lan Fuan said that in recent years, fiscal policy has always adhered to an active orientation. In 2025, a more proactive fiscal policy was implemented for the first time, with macroeconomic regulation further intensified. In 2026, the tone of “more proactive” will continue, maintaining the力度 on the basis of the total expansion in 2025. This arrangement fully considers the profound and complex changes in the current domestic and international situation, balancing counter-cyclical and cross-cyclical regulation needs. It can effectively hedge short-term fluctuations, promote economic operation within a reasonable range, and also facilitate structural optimization and enhance economic resilience, providing solid support for a good start and good progress in the “14th Five-Year Plan.”