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

Caixin 2026 deficit ratio remains at a historic high of around 4%, with ultra-long special bonds and local government专项 bonds maintaining high levels, and a 100 billion yuan fiscal and financial coordination fund launched to stimulate domestic demand. Minister of Finance Lan Fuan stated at a 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 enhanced policy coordination, further amplifying the effects.

Lan Fuan said that in recent years, fiscal policy has always maintained an active orientation. In 2025, a more proactive fiscal policy was implemented for the first time, with macroeconomic regulation further strengthened. In 2026, the tone of “more proactive” will continue, maintaining the intensity 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 adjustments. 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 a good beginning for the 14th Five-Year Plan.