Politburo Calls for More Effective Macro Policies, Faster Fiscal Spending to Advance Major Projects and

The Politburo recently held a meeting, stating that macro policies must be more effective, fiscal spending and bond fund utilization should be accelerated, and progress on major national projects and equipment renewal and consumer goods trade-in programs should be vigorously advanced. The meeting called for a more proactive fiscal policy and moderately accommodative monetary policy, full use of existing policy effects, and timely planning and introduction of practical incremental policies.

As of August 5, 2026, new special-purpose bonds totaling RMB2,423.9 billion had been issued, reaching 55% of the annual quota. By use, 27% went to municipal and industrial park infrastructure, 19% to transport infrastructure, 14% to affordable housing projects, and 12% to social programs. The full RMB200 billion quota of ultra-long special government bonds for equipment renewal in 2026 has been allocated, and the list of major national projects has been fully issued, with RMB800 billion supporting 1,417 major projects. A third batch of RMB62.5 billion in consumer goods trade-in subsidies has also been distributed.

A deputy director of the Ministry of Finance's debt management department said the next step is to accelerate fund disbursement and utilization to generate physical work volumes as soon as possible. The finance minister proposed strengthening policy research and reserves, focusing on key areas such as household consumption, private investment, and supply-demand structure optimization, continuously enriching the policy toolkit, and promoting coordinated fiscal and monetary policy efforts.

At the local level, Gansu province recently issued an implementation plan for comprehensively deepening zero-based budget reform, focusing on key tasks such as deep integration of technological innovation and industrial innovation, adopting a "lead plus coordination" approach where lead departments work with relevant agencies to plan and reserve projects. Chongqing municipality released its own zero-based budget reform plan, breaking the base of key special funds, requiring all key special funds to be compiled based on actual annual payment needs or approved amounts, and directing financial resources toward high-maturity, high-quality projects.