Active financial policy boosts Chongqing’s economy

The active financial policy by Chongqing to combat the downward economy in the first half of 2012 greatly promoted the steady increase of its economic indicators including GDP, industrial added value, investment and consumption. Also, the rapid economic growth means a new source of tax and more fiscal revenue, according to Chongqing Finance Bureau.

The GDP of Chongqing climbed by 14%; the above-scale industrial added value 16.5%, the overall fixed assets investment 23.1%, and the total amount of the overall consumer goods 15.9%, far higher than the national average in the first half of 2012, according to Chongqing Statistics Bureau.

Analysts said that the active financial policy is a major driving force behind Chongqing’s economic growth in the tough times.

It is reported that in the first half of 2012, an additional 500 million yuan was earmarked to boost the real economy and 2.4 billion yuan to support the targeted projects by the municipal government such as infrastructure and key industries.

Chongqing has released 44 fiscal and tax supporting policies and established an annual fund of 2 billion yuan to develop the non-public economy.

Besides, Chongqing spares no effort to stimulate consumption so as to boost the economy.

It has also implemented the structural tax reduction which helped cut 500 million yuan tax for enterprises.

The general budgetary revenue for Chongqing’s finance increased by 8.4% in January 2012. The growth rate rose to 16.4% by the end of the first quarter of 2012 and 18.4% by the end of the second quarter, higher than that of 15% in early 2012.

Qu Xinyan