China’s investors left wanting after ministry keeps mum on stimulus plan

China’s investors did not get the news they were hoping for after a Ministry of Finance press conference. Photo: AFP

BEIJING: China’s Ministry of Finance did not deliver a broad-based fiscal stimulus package at a Saturday press conference, instead pledging stronger action to deal with local government debt and the property market – two areas of concern weighing down the country’s economic growth.

However, analysts still expect some mild stimulus measures from the ministry, including an increase to the fiscal deficit ratio from the current 3 per cent, more issuance of ultra-long special treasury bonds and local government bonds as well as tax cuts.