China Jan-July 2026 Fiscal Revenue Up 5.8%, Spending Up 1.3%

In the January-July 2026 period, national general public budget revenue amounted to RMB 14.3696 trillion, up 5.8% year on year. The growth rate was 1.1 percentage points higher than in the first half, marking the fastest pace this year. Tax revenue totaled RMB 11.8381 trillion, up 6.7%, while non-tax revenue reached RMB 2.5315 trillion, up 1.6%. By jurisdiction, central general public budget revenue rose 9.1% to RMB 6.3857 trillion, and local general public budget revenue grew 3.3% to RMB 7.9839 trillion. Stamp duty revenue totaled RMB 353 billion, up 38%, including RMB 186.4 billion from securities trading stamp duty, a surge of 99.2%.

During the same period, national general public budget expenditure reached RMB 16.2889 trillion, up 1.3% year on year, with the pace slowing 0.2 percentage point from the first six months. Central-level expenditure rose 6.2% to RMB 2.4783 trillion, while local general public budget expenditure grew 0.5% to RMB 13.8106 trillion. Spending on livelihood items maintained solid growth: health expenditure rose 9.8% to RMB 1.3613 trillion, and social security and employment expenditure increased 7% to RMB 2.9548 trillion. Energy conservation and environmental protection spending fell 11.9% to RMB 259.8 billion; urban-rural community expenditure declined 2.9% to RMB 1.0864 trillion; and agriculture, forestry and water spending dropped 6.8% to RMB 1.1489 trillion.

In the government fund budget, national revenue for January-July totaled RMB 1.8219 trillion, down 21.2% year on year. Local government fund budget revenue fell 24.8% to RMB 1.5447 trillion, with state land use rights transfer income down 30.8% to RMB 1.1731 trillion. National government fund budget expenditure declined 16.4% to RMB 4.541 trillion, including RMB 1.9474 trillion in land transfer-related spending, down 17.4%.

The Political Bureau of the Communist Party of China Central Committee, at its meeting on July 30, called for accelerating the pace of fiscal spending and the use of bond funds. At a press conference on August 21, Vice Minister of Finance Liao Min said more than RMB 2 trillion in local government special bonds and ultra-long-term special treasury bonds are pending issuance and use in the second half of the year. For 2026, new special bonds are arranged at RMB 4.4 trillion, of which RMB 2.4 trillion had been issued in January-July. The government has also arranged RMB 800 billion in new-type policy financial instruments, focusing on urban renewal, artificial intelligence, transport logistics and the low-altitude economy.