National Bureau of Statistics of China or credible economic analysis

China Plans Record $411 Billion Special Treasury Bond Issuance in 2025 to Boost Economy

Dec 24, 2024, 07:11 AM

Chinese authorities have agreed to issue 3 trillion yuan ($411 billion) in special treasury bonds in 2025, marking the highest issuance on record. This move is part of Beijing's strategy to ramp up fiscal stimulus and revive the faltering economy. The funds will be used to support various initiatives, including boosting consumption through subsidy programs, facilitating equipment upgrades by businesses, and funding investments in innovation-driven sectors such as electric vehicles, robotics, semiconductors, and green energy. Additionally, a portion of the proceeds will be allocated to recapitalize large state banks. This plan represents a significant increase from the 1 trillion yuan issued in the current year and comes as Beijing prepares to mitigate the impact of expected U.S. tariffs on Chinese imports.