Current location:Stellar Sphere news portal > opinions
China criticizes Fitch's sovereign rating downgrade
Stellar Sphere news portal2024-05-08 09:53:57【opinions】0People have gathered around
IntroductionRating agency Fitch's sovereign credit rating methodology and indicator system have failed to effect
Rating agency Fitch's sovereign credit rating methodology and indicator system have failed to effectively take into account the positive role of China's fiscal policies, which are more proactive with better efficacy in boosting economic growth and in turn, stabilizing macro leveraging ratios, a senior official from the Ministry of Finance said on Wednesday.
According to an online statement by the ministry, the official said that in the long run, maintaining an appropriate deficit scale and properly using valuable debt funds will help expand domestic demand, support economic growth and eventually facilitate maintaining a sound sovereign credit rating situation.
The comments came after Fitch revised on Tuesday its outlook for China's sovereign credit rating to "negative" from "stable", citing increasing risks to the country's public financing outlook.
"The Chinese government always manages to achieve the multiple goals of supporting economic development, preventing fiscal risks and achieving fiscal sustainability, while scientifically and rationally planning for the deficit scale in accordance with changes in the situation, thereby maintaining the deficit rate at a reasonable level," the official said.
China set its targeted fiscal deficit-to-GDP ratio at 3 percent this year, which is moderate, reasonable and conducive to stable economic growth, and could also effectively control the government's debt ratio. It also reserves policy space for addressing possible risks and challenges in the future, the official said.
China's budget deficit for 2024 is 4.06 trillion yuan ($560 billion),180 billion yuan higher than last year. The expected deficit rate of 3 percent is the same as the target last year.
Such an arrangement is conducive to maintaining the necessary expenditure intensity to utilize countercyclical fiscal adjustments and thereby stabilize and boost market confidence. It is also conducive to balancing development and security, preventing government debt risks, and leaving room for dealing with complex and difficult situations in the future, the official said.
Overall, addressing local government debt situations is proceeding in an orderly manner in China, with risks generally kept under control.
Looking ahead, the ministry will work with relevant parties to further promote the implementation and effectiveness of the package of measures resolving local government debt risks, strictly supervise and hold accountable violations of laws and regulations on debt raising, focus on building a long-term mechanism to prevent and resolve implicit local government debt risks, accelerate the establishment of a long-term government debt management mechanism that aligns with high-quality development and gradually resolve local government debt risks in the process of high-quality development, the official said.
Foreign Ministry spokeswoman Mao Ning said at a regular news conference on Wednesday that the long-term positive economic prospects of the Chinese economy remain unchanged, and China's determination and ability to maintain its sovereign credit status will not change either.
Address of this article:http://capeverde.adventistmissionjapan.org/news-70b399856.html
Very good!(86127)
Related articles
- PGA Championship invites 7 LIV players to get top 100 in the world
- At least 37 mothers killed daily in Gaza: medics
- Jorge Polanco and Mitch Haniger homer, power Mariners to a 9
- China launches new remote sensing satellite
- Surprise! Zendaya unveils SECOND red carpet look at Met Gala as she wows in corseted off
- Mental health review to follow Sydney stabbing attack: Australian PM
- Donald Glover set to debut new Childish Gambino music on upcoming livestream
- Suggestions made by Chinese lawmakers move toward implementation
- Workers at Stellantis plant near Detroit authorize strike in dispute over health and safety issues
- Andrew Scott speaks out on his 'wonderful' friendship with All Of Us Strangers co
Popular articles
- Too much water, and not enough: Brazil's flooded south struggles to find basic goods
- China unveils regulations on implementation of consumer rights protection law
- Emily Ratajkowski bares her toned tummy in a white tube top as she strolls NYC with her dog Colombo
- Retail sales surge 0.7% in March as Americans seem unfazed by higher prices with jobs plentiful
Recommended
CFL's Chad Kelly suspended at least 9 games after investigation into ex
Israeli airstrike kills 9 Palestinians in Gaza's Rafah
4 dead, 97 injured in 7.3
'Love in Nanning' concert unites singles for a romantic evening
Election 2024: Denial and uncertainty are looming over a Biden
Emily Ratajkowski bares her toned tummy in a white tube top as she strolls NYC with her dog Colombo
More innovation urged in fight to end tuberculosis
2024 Pudong Festival of Culture & Art opens next week
Links
- WWII bomb found in garden in UK city taken out to sea
- 'He's almost like a LEAGUE TWO player': Roy Keane slams Erling Haaland for his display in City's 0
- First look: Prince Andrew 'car crash' interview with Emily Maitlis film trailer released by Netflix
- Rihanna shows off her wild side in a low
- Trump appeals US$454 million ruling in NY civil fraud case
- Awkward moment pregnant mother is left in tears after discovering she's having a third son
- I'm a gardening expert
- Prince William's supporters reveal what he's really like behind the scenes
- Photographer at Prince Andrew's car
- I lost everything I owned in a storage unit fire where I stored my possessions after a break