Ministry of Finance： Accelerate the budget expenditure and the issuance of local government bonds in the second half of the year.
CCTV News:According to the website of the Ministry of Finance, 2021 is the first year to implement the 14th Five-Year Plan and start a new journey of building a socialist modern country in an all-round way. In the first half of the year, under the strong leadership of the CPC Central Committee with the Supreme Leader as the core, all localities and departments conscientiously implemented the decision-making arrangements of the CPC Central Committee and the State Council, continued to consolidate and expand the achievements of epidemic prevention and control and economic and social development, solidly carried out the "six guarantees" work, fully implemented the "six guarantees" task, and accurately implemented macroeconomic policies. China’s economy continued to recover steadily and steadily, and science and technology were actively promoted, and reform and opening up efforts were intensified. People’s livelihood was effectively guaranteed and high-quality development was achieved. In the first half of the year, the GDP increased by 12.7% year-on-year, with an average growth of 5.3% in two years, and the main macro indicators were in a reasonable range.
Under the strong leadership of the CPC Central Committee, the Ministry of Finance adheres to the guidance of the Supreme Leader’s Socialism with Chinese characteristics Thought in the new era, adheres to the general tone of striving for progress while maintaining stability, based on the new development stage, implements new development concepts, constructs a new development pattern, conscientiously implements the requirements of "improving quality, increasing efficiency and being more sustainable", maintains the continuity and stability of macro policies, does not make sharp turns, maintains the necessary support for economic recovery, and takes into account the needs of steady growth and risk prevention. Reasonably arrange the scale of deficit, debt and expenditure, adjust and optimize the expenditure structure with greater efforts, strengthen the overall planning of financial resources, strengthen the management of local government debt, promote the sustainable development of finance, and ensure a good start in the 14 th Five-Year Plan.
(1) Maintain moderate expenditure intensity and enhance financial sustainability. This year, deficit ratio is arranged at around 3.2%, which is lower than last year. The deficit scale is 3.57 trillion yuan, which is 190 billion yuan lower than that in 2020. We will coordinate the needs of macro-control and guard against financial risks, improve the inter-cycle adjustment mechanism, effectively guarantee the key tasks set by the CPC Central Committee and the State Council, and leave policy space for dealing with new risk challenges in the future. The national general public budget expenditure exceeded 25 trillion yuan, an increase of 1.8%, which enhanced the financial security of major national strategic tasks and promoted the economic operation to remain in a reasonable range. The arrangement of new special bonds was 3.65 trillion yuan, a decrease of 100 billion yuan over the previous year, and local government debt risks were actively prevented. Special anti-epidemic bonds will no longer be issued, and expenditures on infrastructure construction such as local public health and basic livelihood will be guaranteed through normal channels.
(2) Continue to reduce taxes and fees to stimulate the vitality of market players. We will continue to implement the institutional tax reduction policy, extend the implementation period of some phased policies such as value-added tax concessions for small-scale taxpayers, and implement new structural tax reduction measures. Highlight the strengthening of tax incentives for small and micro enterprises, while continuing to implement policies such as inclusive tax reduction for small and micro enterprises, further increase tax relief for small and micro enterprises and individual industrial and commercial households, vigorously support manufacturing and technological innovation, and enhance the vitality and development potential of enterprises. It is estimated that the new burden reduction for market players will exceed 700 billion yuan throughout the year.
(3) establish a normalized direct mechanism to improve the efficiency of financial funds. Improve the management system of direct funds, expand the scope of direct funds, and bring 27 transfer payments into the direct scope as a whole, with a total amount of funds reaching 2.8 trillion yuan, an increase of 1.1 trillion yuan over the previous year. Improve the monitoring system of direct funds, keep a close eye on the distribution, disbursement and use of direct funds, and further improve the performance of financial funds. By the end of June, 92.5% of the direct funds have been released, and all the qualified funds have been released. At the same time, speed up the establishment of an all-round and full-coverage budget performance management system, promote the substantive embedding of performance management into the budget management process, strengthen the application of performance results, and make good use of limited financial funds.
(4) Increase the transfer payment and firmly grasp the bottom line of "three guarantees". In the case of limited actual financial resources, the central government arranged 8,337 billion yuan of transfer payments to local governments this year, including 7,501.8 billion yuan of general transfer payments, an increase of 7.8%, which was significantly higher than last year. Increase the sinking of financial resources, the central financial transfer payment funds to the central and western regions and difficult areas, support the normal operation of local areas, especially difficult areas, as well as the provision of public services and the development of people’s livelihood, and enhance the local "three guarantees" guarantee capacity.
(5) Vigorously support scientific and technological innovation and accelerate the development of the modern industrial system. Efforts will be made to improve the quality and efficiency of economic development and support the accelerated cultivation of a complete domestic demand system. Vigorously promote scientific and technological innovation, strengthen investment in basic research, promote key core technology research, support the improvement of independent innovation capability, accelerate the development of modern industrial system, and promote the modernization level of industrial chain and supply chain. Support the development of foreign investment and foreign trade.
(6) Do our best and do what we can to ensure and improve people’s livelihood. According to the financial situation and actual needs, reasonably determine the people’s livelihood policy and promote the management of people’s livelihood expenditure list. Establish and improve the incentive and restraint mechanism to improve the scientific management of people’s livelihood expenditure funds. Improve the redistribution mechanism and strengthen the bottom-up protection for low-income groups. Do everything possible to increase the scale of transfer payments from the central government to local governments, and tilt to financially difficult areas and underdeveloped areas to enhance the ability to protect basic people’s livelihood.
(seven) adhere to the government’s tight life, and further optimize the structure of fiscal expenditure. We will strictly control the budget expenditure, strictly examine the new fiscal expenditure, vigorously reduce or cancel inefficient and ineffective expenditure, and deeply tap the potential of saving expenditure. The central government took the lead in living a tight life, further drastically reduced non-urgent and non-rigid expenditures, further reduced general expenditures, and freed up more valuable financial resources to improve basic people’s livelihood and support the development of market players.
In the next step, the Ministry of Finance will resolutely implement the decision-making arrangements of the CPC Central Committee and the State Council, adhere to the general tone of striving for progress while maintaining stability, take the promotion of high-quality development as the theme, take the deepening of supply-side structural reform as the main line, take reform and innovation as the fundamental driving force, and take meeting the people’s growing needs for a better life as the fundamental purpose, accurately implement macro policies, enhance the effectiveness of proactive fiscal policies, and speed up the budget expenditure and the issuance of local government bonds in the second half of the year. Focus on supporting the real economy and promoting employment, further stimulate the dynamic vitality of market players, at the same time improve the inter-cyclical adjustment mechanism, maintain the continuity, stability and sustainability of macroeconomic policies, make overall plans for the convergence of fiscal policies this year and next, deal with possible cyclical risks, consolidate the stable and positive economic situation, and strive to complete the main objectives and tasks of economic and social development throughout the year.
First, the overall implementation of the budget is good, and the overall support capacity is continuously enhanced.
In the first half of the year, the national economy was steadily strengthened and improved. On this basis, fiscal revenue showed a recovery growth, expenditures in key areas such as people’s livelihood were strongly guaranteed, and budget implementation was generally good.
(1) Fiscal revenue resumed growth, and revenue quality was further improved.
In the first half of the year, the national general public budget revenue was 1,171.16 billion yuan, up 21.8% year-on-year and 8.6% compared with the same period in 2019, of which the central general public budget revenue was 5,462.4 billion yuan, up 23.2% year-on-year and up 5.9% compared with the same period in 2019; The revenue of the local general public budget at this level was 6,249.2 billion yuan, a year-on-year increase of 20.6% and an increase of 11.1% compared with the same period in 2019. Fiscal revenue in all parts of the country has generally rebounded, and the fiscal revenue in the eastern, central, western and northeastern regions has increased by 12.5%, 9.1%, 10.2% and 4.1% respectively compared with the same period in 2019.
Economic recovery has boosted the rapid growth of tax revenue, and the main taxes and taxes of most industries have basically recovered or significantly exceeded the pre-epidemic level. The national tax revenue was 1,046.1 billion yuan, a year-on-year increase of 22.5% and an increase of 8.7% compared with the same period in 2019. Domestic value-added tax, domestic consumption tax, enterprise income tax and import tax increased by 22.5%, 12.8%, 17.7% and 27.6% respectively, which were 5% (after deducting incomparable factors such as the reduction of VAT rate), 2.6%, 9.2% and 7.1% respectively compared with the same period in 2019. Solidly implement various fee reduction policies, intensify the rectification of illegal fees charged by various enterprises, and effectively implement the fee reduction policies.
(2) Maintain moderate expenditure intensity, and ensure strong expenditure in key areas.
In the first half of the year, the national general public budget expenditure was 12,167.6 billion yuan, a year-on-year increase of 4.5%, which maintained a strong expenditure. Among them, the central government has implemented the requirements of taking the lead in living a tight life and greatly reduced non-urgent and non-rigid expenditures. The expenditure of the central general public budget at this level has decreased by 6.9% year-on-year, and it has decreased by 2.4% after deducting the influence of some expenditure delays compared with last year. Local general public budget expenditure increased by 6.4% year-on-year.
Fiscal expenditure has been kept at a low level, and key expenditures such as the "three guarantees" of the national finance have grown rapidly, and basic livelihood expenditures have been well guaranteed. Expenditure on education, housing security, social security, employment and health increased by 10.1%, 15.1%, 8.2% and 3.8% respectively. As of July 15, the investment budget in the central budget was 470.5 billion yuan, accounting for 77.1% of the budget. Relevant departments strengthened communication and convergence to promote the project to form a physical workload as soon as possible.
(3) fully implement the government’s requirements for living a tight life, and make better use of financial resources.
We will continue to take the tight life as the basic principle of budgeting, adhere to the principle of keeping expenditures within the limits of revenues and expenditures, and strictly control the budgetary expenditure. Significantly reduce non-rigid expenditures that are not urgently needed, vigorously streamline official activities such as meetings, training, forums, and celebrations, strictly approve the "three public" budget, and free up more valuable financial resources for improving basic people’s livelihood and other key areas. Harden the constraints of budget execution, strictly implement the budget approved by the National People’s Congress, and strictly prohibit the allocation without budget or over budget. Strengthen supervision and guidance to local governments, urge local governments to be diligent and thrifty, strictly compile budgets, strictly implement various expenditure standards, resolutely refuse to open meetings that can be held or not, resolutely refuse to do training that can be held or not, timely adjust the use of projects that can be suspended, and strengthen the bundled use of funds that can be integrated as a whole to effectively improve the efficiency of financial fund allocation.
Two, fully implement the "six guarantees" task, and earnestly safeguard the overall situation of economic development and social stability.
Strengthen the pre-research and pre-judgment of the macro situation, focus on doing a solid job of "six stabilities" and fully implementing the task of "six guarantees", systematically plan fiscal and taxation policies and measures, adhere to the bottom line thinking, do a good job of cross-cycle and forward-looking regulation, consolidate and expand the prevention and control of epidemic situation and the achievements of economic and social development, and effectively promote the stable recovery of economic and social stability and the continuous improvement of people’s livelihood.
(A) to strengthen the employment priority policy, the development of the job market is more healthy and stable.
First, the employment fund guarantee is more solid. In 2021, the central government allocated 56.76 billion yuan of employment subsidy funds, an increase of 2.03 billion yuan over last year, to support the implementation of employment and entrepreneurship support policies. Take vocational skills training as a key measure to alleviate structural employment contradictions, and guide all localities to speed up the use of vocational skills upgrading action funds.
Second, the policy of aiding enterprises to stabilize their posts continued to exert strength. We will continue to implement the policy of stable return of inclusive unemployment insurance. In the first half of the year, we distributed unemployment insurance to 375,000 enterprises with 9.52 billion yuan of stable return funds, benefiting 9.429 million employees. We will continue to implement the policy of expanding the scope of employment by replacing training with industry, and support small and medium-sized enterprises to absorb the employment of key groups.
Third, the action of improving vocational skills has been steadily advanced. Cooperate with relevant departments to formulate and improve relevant policies and measures for vocational skills training, adjust the subsidy standards for vocational skills training, appropriately expand the coverage of subsidies for vocational skills upgrading actions, and reasonably relax the conditions for applying for subsidies. We will implement the new apprenticeship system for enterprises with China characteristics, and give vocational training subsidies to enterprises that carry out apprenticeship training according to regulations. For the poverty-stricken population, people with employment difficulties, and zero-employment family members who participate in vocational training, living expenses (including transportation expenses) will be subsidized according to regulations during the training period.
Fourth, the employment support system for key groups continued to improve. Do a solid job in the employment of key groups such as college graduates, migrant workers and retired military personnel. Co-ordinate the implementation of tax relief, business guarantee loans and interest subsidies, social insurance subsidies and other policies and measures to support key groups to start their own businesses and promote the unemployed to return to their jobs.
With the support of the above policies, China’s employment situation achieved overall stability in the first half of the year. The national urban survey unemployment rate averaged 5.2%, down 0.6 percentage points from the same period of last year, and 6.98 million new jobs were created in cities and towns nationwide, achieving 63.5% of the annual target.
(2) Give prominence to people’s livelihood, and steadily improve the level of basic people’s livelihood security.
First, the pension insurance benefits have been further improved. Raise the basic pension level of retirees by 4.5%. In the first half of the year, the central government issued subsidies for basic old-age insurance for enterprise employees, urban and rural residents and basic old-age insurance reform for institutions in 2021, totaling more than 780 billion yuan. The central adjustment ratio of the basic old-age insurance fund for enterprise employees will be raised to 4.5%, and the total scale of the central adjustment fund will reach more than 930 billion yuan, benefiting the central and western regions and old industrial base provinces by 215.2 billion yuan. Consolidate the long-term mechanism of basic old-age insurance for urban and rural residents to help the poor, and guide all localities to improve and implement the policy of premium payment for basic old-age insurance for urban and rural residents with difficulties.
Second, the level of medical security has steadily improved. Continue to improve the per capita financial subsidy standard for medical insurance for urban and rural residents, reaching not less than 580 yuan per person per year. In the first half of the year, the central government issued a total of 367.689 billion yuan of medical insurance subsidies for urban and rural residents in 2021. Give full play to the role of medical assistance in guaranteeing the bottom, and issue medical assistance subsidy funds of 30.69 billion yuan. Support the reform of local medical insurance informatization, fund supervision and payment methods, and promote the strengthening of medical insurance service capacity building. Improve the basic medical insurance outpatient mutual aid guarantee mechanism, establish a medical insurance treatment list system, and promote the normalization and institutionalization of drug centralized procurement.
Third, the guarantee of vaccines and vaccination fees in Covid-19 has been effectively implemented. Continue to do a good job in epidemic prevention and control, support free vaccination of residents, and finance at all levels will subsidize Covid-19 vaccine and vaccination expenses borne by the medical insurance fund according to the actual occurrence of 30%. For the co-ordination areas where the accumulated balance of employee medical insurance or resident medical insurance in the last year can be paid for less than 3 months, the proportion of financial subsidies can be increased after being reported to the provincial finance and medical insurance departments for approval, so as to ensure that the policy treatment payment of the insured personnel will not be affected. The central government will provide subsidies to the eastern, central and western regions at the rate of 30%, 40% and 50% respectively, and the central financial subsidy funds will be settled once every six months during this round of vaccination.
Fourth, the level of basic public health services has been significantly strengthened. In the first half of the year, the central government issued a subsidy of 65.394 billion yuan for basic public health services, supporting local governments to provide basic public health services such as health record management and health literacy promotion for all urban and rural residents. The per capita financial subsidy standard for basic public health service funds is higher than that of the previous year in 5 yuan, reaching 79 yuan per person per year.
Fifth, the treatment of special care recipients has been fully implemented. We will continue to raise the standard of pensions and living allowances for people with special care by about 10%. In the first half of the year, the central government issued a subsidy of 51.4 billion yuan for special care recipients in 2021, guaranteeing nearly 8.24 million special care recipients, ensuring that the living standards of special care recipients and other personnel are compatible with the level of economic development, and their living conditions are improving year by year. In 2001, 2.38 billion yuan of medical insurance funds for special care recipients were issued, which effectively guaranteed the implementation of medical treatment for special care recipients and supported local governments to solve the special difficulties of special care recipients outside the existing medical insurance reimbursement.
Sixth, the basic livelihood of the people in need is better guaranteed. Maintain the overall stability of the social assistance policy during the transition period of consolidating and expanding the achievements of poverty alleviation and effectively connecting with rural revitalization, and guide all localities to timely include those who have completely lost their ability to work or partially lost their ability to work and cannot obtain stable income through industrial employment in rural areas. In accordance with the regulations, it is included in the scope of assistance and support for rural low-income or extremely poor people. In the first half of the year, the central government issued a subsidy of 147.621 billion yuan to help needy people, supporting all localities to coordinate the work of subsistence allowances, assistance and support for destitute people, temporary assistance, assistance for vagrants and beggars, and basic living security for orphans. In the first half of the year, there were 7.73 million urban residents and 35.38 million rural residents, and the average standard of urban and rural residents’ subsistence allowances reached 694 yuan/person-month and 513 yuan/person-month respectively.
Seventh, the support policies for the renovation of dilapidated houses in rural areas continued to be optimized. The protection target will be adjusted from four types of key targets, such as poverty-stricken households who set up files during the 13 th Five-Year Plan period, to key targets such as rural low-income groups. In the first half of the year, the central government issued a subsidy of 9.946 billion yuan for the renovation of dilapidated houses in rural areas to support eligible targets to carry out the renovation of dilapidated houses and the earthquake-resistant renovation of rural houses.
Eight is to promote the high-quality development of education. Improve the guarantee mechanism of inclusive preschool education and expand the supply of preschool education resources. In 2021, 177 billion yuan will be allocated as subsidies for urban and rural compulsory education, supporting local governments to consolidate the funding guarantee mechanism for urban and rural compulsory education, and implementing the special post plan for teachers in rural compulsory education schools and the nutrition improvement plan for rural compulsory education students. About 156 million urban and rural compulsory education students will be exempted from tuition and fees and get free textbooks, about 25 million students from poor families will receive living allowances, and the nutrition improvement plan will benefit about 32 million rural students. We will continue to improve the basic conditions for running schools in rural areas and expand the supply of urban degrees in an orderly manner. Deepen the integration of production and education and school-enterprise cooperation in vocational colleges. Promote the construction of "double first-class" by classification and support the development of higher education in the central and western regions. Improve the student financial aid policy system, and achieve full coverage of all students, public private schools and students with financial difficulties.
Nine is to support the development of cultural undertakings and cultural industries. Continue to promote the integration of urban and rural public cultural service system, and improve the coverage and effectiveness of the cultural benefit project. Improve the management mechanism of relevant funds and funds, guide the introduction of more masterpieces, and support the prosperity and development of socialist literature and art. Strengthen the protection and utilization of cultural relics and the protection and inheritance of intangible cultural heritage, and carry forward the excellent traditional Chinese culture. Support the strengthening of international communication capacity building and promote Chinese culture to go abroad. Strengthen the supervision and management of state-owned assets of central cultural enterprises and promote the healthy and rapid development of cultural industries. Support the preparations for the Beijing Winter Olympics and Paralympic Winter Games and the preparation of the national team, and accelerate the construction of a sports power.
(3) Continue to provide relief for market players, and further consolidate the economic fundamentals.
First, we will extend the incentive and compensation policy for financing guarantee fee reduction for small and micro enterprises to 2023, and guide local governments to reduce the annualized guarantee rate for small and micro enterprises to 1.5% or lower, so as to promote the comprehensive financing cost of small and micro enterprises to decrease steadily and help solve the financing problems of small and medium-sized enterprises. In 2021, the 3 billion yuan award fund was issued in June.
Second, the discount on business guarantee loans will be accelerated. In May, 2021, the central government allocated 6.336 billion yuan of discount and bonus funds for business start-up guarantee loans, with a year-on-year increase of 65.9%, and the release time was four months earlier than the previous year. The subsidy funds were included in the direct funds of the central government, helping business start-up and employment accurately and quickly.
Third, the government financing guarantee continued to expand and reduce fees. Improve the loan risk sharing mechanism, promote the national financing guarantee fund to expand the scale of re-guarantee business and accelerate the progress of equity investment. In the first half of the year, the state financing guarantee fund added 321.53 billion yuan and 249,300 households with re-guarantee cooperation business, up by 36.6% and 90.3% respectively, and the accumulated re-guarantee cooperation business scale exceeded 1 trillion yuan. The average guarantee rate of cooperative institutions decreased to 0.85%, down by 0.16 percentage points compared with the same period of last year. Actively promote the cooperation of "general-to-general" bulk guarantee business of Yindan, and have achieved business landing in 11 national banks and 23 provinces (autonomous regions and municipalities), with a cumulative business scale of 9.852 billion yuan.
Fourth, government procurement promotes the development of small and medium-sized enterprises. We revised and issued the Administrative Measures for Government Procurement to Promote the Development of Small and Medium-sized Enterprises, refined and improved measures such as reserved shares and preferential price evaluation, expanded the share of small and medium-sized enterprises in government procurement contracts, and continued to increase the support of government procurement for small and medium-sized enterprises.
(4) Increase policy support to ensure food and energy security.
First, the ability to ensure food supply has been further improved. Improve the grain subsidy policy. We will implement policies such as subsidies for corn and soybean producers and support the minimum purchase price policy for wheat and rice. We will issue 120.485 billion yuan of subsidy funds and continue to implement the subsidy policy for farmland fertility protection. Arrange a one-time subsidy of 20 billion yuan for actual grain farmers to mobilize their enthusiasm. The central government allocated 17.98 billion yuan to local grain risk funds to support local grain reserves and maintain the stability of the grain market. Promote the expansion and bidding of agricultural insurance. We will expand the scope of full cost insurance and planting income insurance for three major grain crops: rice, wheat and corn, and gradually provide insurance coverage covering the full cost of agricultural production or planting income for all farmers in 500 major grain-producing counties in 13 major grain-producing provinces. Support the implementation of the strategy of storing grain on the ground and storing grain in technology, support the construction of 100 million mu of high-standard farmland, expand the implementation area of conservation tillage on black land from 40 million mu in 2020 to 70 million mu, and encourage the construction of modern irrigation areas with complete engineering facilities, advanced irrigation technology, good ecosystem and efficient management level. Implement flood control and drought relief water conservancy promotion projects. Support all localities to do a good job in the prevention and control of major crop pests and diseases, the prevention and control of red imported fire ants, flood control and drought relief, and the safety of flood control. In 2021, the sown area of summer grain in China was 26,438 thousand hectares, an increase of 265.5 thousand hectares over 2020, an increase of 1%, reversing the downward trend for five consecutive years; The total output of summer grain in China was 145.82 million tons, an increase of 2.967 million tons over 2020.An increase of 2.1%.
Second, the energy security capacity continued to improve. Adjust and improve the support policies for new energy vehicles. Adhere to the gradual subsidy retreat. In 2021, the subsidy standard for new energy vehicles will retreat by 20% on the basis of 2020, and the technical index system and technical requirements threshold will remain generally stable. Optimize the subsidy policy for renewable energy power generation, and issue a budget of 89 billion yuan for additional subsidies for renewable energy electricity prices to support renewable energy power generation such as photovoltaic and wind power. Accelerate the announcement of the subsidy list to confirm the right, and solve the financing problem of renewable energy power generation enterprises. From 2021, new centralized photovoltaic power stations, industrial and commercial distributed photovoltaic projects and onshore wind power projects will be added to realize cheap internet access, which will enter a new stage of large-scale popularization and application. Strengthen illegal supervision, clarify the corresponding suspension and reduction of subsidy funds for biomass power generation projects with substandard emissions, and force enterprises to strengthen emission control, achieve emission standards, and ensure the safety and effectiveness of subsidy funds. Support unconventional natural gas exploitation. A special fund budget of 6.01 billion yuan for clean energy development in 2021 was issued. According to the principle of "more subsidies in winter", a cascade reward method of incremental assessment was adopted to encourage local and enterprises to produce more gas. In the first half of the year, green and low-carbon energy continued to grow, and the installed capacity of wind power and solar power increased by 34.7% and 23.7% respectively. The sales volume of new energy vehicles reached 1.206 million, a year-on-year increase of 139%. Natural gas production increased by 10.9%, of which shale gas production increased by 25%.
(5) Optimize and upgrade the industrial chain supply chain, and continuously improve the economic quality and efficiency and core competitiveness.
First, support the upgrading of scientific and technological innovation capabilities. We will continue to focus on tackling key core technologies, fully guarantee the organization and implementation of major scientific and technological projects, and focus on solving a number of "stuck-neck" problems. Support the implementation of the national guiding fund for the transformation of scientific and technological achievements, guide social capital and financial capital into the field of innovation, and accelerate the transformation and application of scientific and technological achievements. Support more qualified enterprises to undertake national scientific research tasks, and encourage enterprises to become the main body of technological innovation decision-making, R&D investment, scientific research organization and achievement transformation. Significantly increase investment in basic research, focusing on the National Natural Science Foundation, and stably support scientific research institutes, scientific and technological innovation bases and scientific research talents in the field of basic research. In the first half of the year, the new kinetic energy of China’s economic development grew rapidly, and the sales revenue of high-tech industries nationwide increased by 33.6% year-on-year, with an average growth rate of 20.4% in two years, which was 5.3 percentage points higher than the national overall level.
The second is to accelerate the optimization and upgrading of the industrial chain. Focus on key industrial chains of manufacturing industry, support collaborative innovation of industrial chain and construction of public service platform around blocking points and breakpoints, and improve the modernization level of industrial chain supply chain. Optimize the pilot policy of insurance compensation for the first (set) of major technical equipment, improve the pertinence of the first (set) of major technical equipment guidance catalogue, simplify the fund declaration procedures, encourage local governments to introduce incentives for the first (set) application, and support the popularization and application of innovative products. Give full play to the role of government investment funds in the manufacturing sector, guide social capital to increase investment in integrated circuits, new materials, next-generation information technology and other fields, and ensure the safety of the supply chain of the industrial chain.
The third is to support the innovation and development of small and medium-sized enterprises. Arrange special award funds, focus on supporting the high-quality development of more than 1,000 state-level specialized and innovative "little giant" enterprises in batches, and accelerate the cultivation of a number of small and medium-sized enterprises that focus on market segments, focus on their main businesses, have strong innovation ability and good growth performance. Strengthen the construction of public service demonstration platform for SMEs. We will increase financial support for the development of inclusive finance, and implement the discount policy for business guarantee loans. Launch a special plan for patent transformation to meet the technical needs of SMEs and help them innovate and develop.
(6) Increase the scale of transfer payments from the central government to local governments, and firmly grasp the bottom line of "three guarantees" at the grassroots level.
First, the central government has further increased the scale of transfer payments to local governments. In the case of limited actual new financial resources, we will increase the scale of local transfer payments by reducing the level and adjusting the structure. In 2021, the central government transferred 8,337 billion yuan to local governments, a slight increase over 2020. General transfer payments increased by 7.8%, of which the transfer payments of common financial affairs increased by 6.1% and other general transfer payments increased by 9.2%, which was significantly higher than last year. Increase the intensity of balanced transfer payments and arrange balanced transfer payments of 1,908.7 billion yuan, an increase of 11% year-on-year; We arranged 337.9 billion yuan for the county-level basic financial guarantee mechanism, up 13.4% year-on-year, actively supported all localities to ensure basic livelihood, wages and operation, and improved the level of equalization of basic public services.
Second, the local "three guarantees" support capacity has been enhanced. We will increase balanced transfer payments, county-level basic financial guarantee mechanism and other transfer payments, and further tilt financial resources to areas with financial difficulties, strongly support local governments to increase available financial resources, and improve the "three guarantees" guarantee capacity. Up to now, 1,852.7 billion yuan of balanced transfer payments have been issued, and all the county-level basic financial security mechanism award funds have been issued. Judging from the monitoring situation in the first half of the year, the actual available financial resources in all counties and districts can guarantee the national standard "three guarantees" demand, and the guarantee situation is better than that in the same period of last year.
The third is to strengthen the supervision and guidance of local "three guarantees" work. From January this year, we will carry out monthly monitoring of local financial operations, focusing on strengthening local "three guarantees" monitoring, and urge and guide local verification and resolution of problems and risks found in monitoring at the first time. At the same time, constantly improve the monitoring system to ensure accurate and timely collection and analysis of various monitoring data, and strive to prevent and resolve the "three guarantees" risks.
Third, optimize and implement the tax reduction and fee reduction policy, and effectively stimulate the vitality of market players.
In accordance with the spirit of the Central Economic Work Conference and the deployment requirements of the government work report, we will optimize and implement the policy of tax reduction and fee reduction, comprehensively consider the needs of fiscal sustainability and the implementation of the policy of helping enterprises to bail out, implement relevant policies of tax reduction, resolutely reduce the tax reduction in place, and reduce the cost of enterprises in the real economy, optimize the development environment of enterprises, and stimulate the vitality of market players. In 2021, it is estimated that the annual tax reduction and fee reduction will exceed 700 billion yuan.
(1) The institutional tax reduction and fee reduction policy will continue to be implemented.
We will continue to implement institutional tax reduction policies such as reducing the value-added tax rate, retaining the value-added tax refund, and special additional deduction of personal income tax, and implement institutional fee reduction policies such as reducing the basic old-age insurance rate for employees, and continue to release the policy superposition effect.
(2) adjust the phased tax reduction and fee reduction policy by classification.
In 2020, the phased tax reduction and fee reduction policy to deal with the epidemic will be introduced, and the classification will be adjusted and orderly withdrawn. Extend the implementation period of policies such as reducing value-added tax for small-scale taxpayers introduced during the epidemic, and maintain the necessary support for economic recovery. Temporary and emergency policies involving epidemic prevention and control, supply and supply shall be stopped after expiration. Considering the demands of enterprises, the social security benefits of the insured and the ability of fund support, we will resume the normal collection of social insurance premiums in 2021, and extend the policy period of reducing unemployment and work-related injury insurance rates in stages to April 30, 2022. In 2021, the upper and lower limits of the social insurance payment base will return to normal in principle, and the provinces with real difficulties can make a two-year transition.
(3) The tax incentives for small and micro enterprises have been strengthened.
While implementing the inclusive tax reduction and fee reduction policy for small and micro enterprises, we will further increase the tax reduction and exemption for small and micro enterprises and individual industrial and commercial households. From January 1 this year, the annual taxable income of small and micro enterprises and individual industrial and commercial households will be reduced by half on the basis of the current preferential policies; From April 1st, the threshold of value-added tax for small-scale taxpayers will be raised from 100,000 yuan to 150,000 yuan in monthly sales.
(4) Support for manufacturing and scientific and technological innovation has been further increased.
We will continue to implement the policy of 75% pre-tax deduction of R&D expenses of enterprises, increase the deduction ratio of R&D expenses of manufacturing enterprises to 100%, allow enterprises to enjoy the deduction policy for half a year, and further encourage enterprises to increase R&D investment with preferential tax policies. From April 1st this year, manufacturing enterprises such as transportation equipment, electrical machinery and equipment, instruments and meters, medicine, chemical fiber, etc. will be included in the scope of the advanced manufacturing enterprises’ value-added tax refund policy, and the incremental value-added tax refund will be fully refunded on a monthly basis.
(five) resolutely prevent arbitrary charges, fines and levies.
Continue to clean up the standard fee fund, cancel the port construction fee, and lower the collection standard of airline civil aviation development fund. Comprehensively investigate the government funds and administrative fees related to epidemic prevention and control at various ports in various regions since 2020, intensify the rectification of illegal fees charged by various enterprises, seriously investigate and deal with problems such as setting up fees without authorization, raising collection standards, expanding the scope of collection, and arbitrarily apportioning, strictly control the unreasonable growth of non-tax revenue, and prevent weakening the dividend of tax reduction and fee reduction policy.
In the first half of the year, with the joint efforts of all parties, tax reduction and fee reduction measures were effectively implemented, which better helped enterprises to bail out their development. The vitality of market entities has been effectively enhanced, and the number of newly established tax-related market entities has reached 6.243 million, an increase of 27.3% compared with 2020 and 22.8% compared with 2019. The benefits of enterprises have generally improved, and profits have increased significantly. The sales revenue of enterprises nationwide increased by 34.4% year-on-year, an average increase of 15.1% over the two years in 2019, and the total profits of industrial enterprises above designated size increased by 66.9% year-on-year. Market participants’ confidence in future economic growth continues to improve. In June, the purchasing managers’ index (PMI) of manufacturing industry was 50.9%, which has been in the boom zone for 16 consecutive months.
Fourth, the direct mechanism of financial funds is normalized, and financial funds benefit enterprises and the people more accurately and efficiently.
Seriously sum up the effective experience of the direct access mechanism in 2020, normalize the implementation of the direct access mechanism of financial funds, expand the scope of direct access funds, optimize the distribution process, and strictly supervise funds. In the first half of the year, the normalized direct access mechanism was promoted in an orderly manner, and the implementation was good. The funds quickly reached the grassroots and units, and the expenditures in key areas were effectively guaranteed, which promoted the accurate implementation of the policy of benefiting enterprises and benefiting the people.
(1) The scale of direct funds exceeded 2.8 trillion yuan, and the implementation was generally good.
The first is to expand the scope of funds. The scope of funds was adjusted from new funds to stock funds, and 27 transfer payments were included in the direct scope as a whole. The total amount of funds reached 2.8 trillion yuan, an increase of 1.1 trillion yuan over the previous year, and the central government’s livelihood subsidy funds were basically covered.
The second is to improve the institutional system. A series of documents such as the Notice of the Ministry of Finance on Doing a Good Job in the Direct Mechanism of Financial Funds in 2021 were issued, and an institutional system covering the whole process of fund allocation, disbursement, use and supervision was established. We will continue to implement measures such as filing audit and beneficiary real-name registration system, effectively meet the supply and demand of funds, "precise drip irrigation", and further improve the scientific and normative management of funds.
The third is to optimize the distribution process. Considering the local actual situation, the allocation of funds is adjusted from all the arrangements to cities and counties to the needs of provincial overall planning, and the ability of provincial overall planning is moderately enhanced. According to the current financial system, the main body of project implementation, the beneficiaries of funds, etc., the local government can reasonably determine the budget allocation plan according to the fund management measures, and tilt the incremental funds to the grassroots level of cities and counties. By issuing in advance, pre-notification of indicators and other means, the local operation time will be increased from one week last year to less than 30 days stipulated in the budget law, leaving time for local governments to formulate detailed plans, prepare projects and fulfill the approval procedures.
By the end of June, the direct funds from the central government had been allocated 2.59 trillion yuan, accounting for 92.5% of the total. All the qualified funds had been allocated, and the outstanding funds were mainly the actual settlement funds, which was released earlier than last year. Local finance has allocated 2.506 trillion yuan to fund users, accounting for 96.8% of the funds allocated by the central government. Expenditure in various regions reached 1.635 trillion yuan, with the expenditure progress reaching 63.1%. From the level of expenditure, the provincial expenditure was 0.614 trillion yuan, accounting for 37.5%; The expenditure of cities and counties at the grass-roots level was 1.021 trillion yuan, accounting for 62.5%, which reflected the institutional arrangement of the normalized direct mechanism of "allocating and using funds according to the facts and inclining to the grass-roots level incrementally".
(two) strict supervision of funds, the use of financial funds more standardized and efficient.
First, upgrade the direct fund monitoring system, expand from data tracking to full-process management, comprehensively cover the indicator flow, cash flow and information flow, realize the full chain tracking and monitoring of funds from the source to the end, and synchronize the release, use and supervision of funds to ensure that the source of funds is clear, the flow direction is clear, the accounts can be checked and the accounts are consistent, further improving the standardization and effectiveness of direct fund distribution and use.
The second is to strengthen collaborative supervision. According to the expansion of direct funds, we will increase the member units of the inter-ministerial special working mechanism and improve the multi-departmental collaborative linkage working mechanism. Strengthen data information sharing, fully open monitoring system data to auditing, human resources and social security, civil affairs and other departments, strengthen the coordination of various departments in fund supervision, find problems in the implementation process in time, and ensure that funds are used in cutting-edge and critical places. Compacting the responsibilities of local governments at all levels, strengthening the supervision of the use of funds, improving the efficiency of the use of funds, and preventing funds from being misappropriated and deposited idle.
The third is to intensify the investigation and punishment of violations. Give full play to the local supervision advantages of the local supervision bureaus of the Ministry of Finance and conduct on-site verification of major doubtful issues. Establish and improve the notification and interview system for major issues, and seriously investigate the responsibility of those who violate laws and regulations. We will not tolerate any illegal acts such as false reporting, impersonation, interception and misappropriation, and we will find them together, investigate them together and hold them accountable together.
(3) Direct funds have achieved remarkable results, and local governments and market players have benefited significantly.
All localities resolutely implemented the spirit of the the State Council executive meeting and the requirements of the central government’s direct fund management policy, focused on optimizing the expenditure structure, highlighting the key points in the use of direct funds, promoting the flow of funds to the directions and fields that the masses hope and enterprises expect, effectively offsetting the impact of some phased policies, providing timely and powerful financial support for local governments to implement the "six guarantees" task, especially to ensure residents’ employment, market players, basic people’s livelihood and grass-roots wages and operations, and laying a solid foundation for the completion of this year’s major economic and social development goals. According to incomplete statistics, more than 70% of the total expenditure of direct funds in the first half of the year was used for local pension, compulsory education, basic medical care, basic housing and other basic livelihood aspects. In terms of supporting the insurance market players, the accumulated expenditure of relevant funds of Hui enterprises exceeded 270 billion yuan, benefiting nearly 580,000 market players of various types.
Five, improve the government debt financing mechanism, government debt management has been continuously strengthened.
Insist on improving the government debt management mechanism, open the "front door" and strictly block the "back door", earnestly prevent and resolve the local government debt risks, and effectively play the role of the government in regulating debt to promote the smooth operation of the macro economy.
(1) The task of issuing treasury bonds was successfully completed.
According to the decision of the CPC Central Committee and the State Council, no special anti-epidemic bonds will be issued in 2021. The Ministry of Finance made overall plans for the issuance of government bonds, reasonably controlled the scale and pace of issuance of government bonds (referring to domestic debts, the same below), successfully completed the issuance of government bonds in the first half of 2021, and the market operation was generally stable. In the first half of the year, 2,816.9 billion yuan of treasury bonds were actually issued, up by 10.8% year-on-year, of which 2,688.2 billion yuan was issued by book-entry treasury bonds and 128.7 billion yuan was issued by savings bonds, providing a solid guarantee for meeting the financing needs of the central government.
(2) The scale of local government special bonds was moderately reduced.
In view of the large scale of special bonds issued in 2020, the policy effect will continue to be released in 2021. This year, the special debt limit for local governments will be 3.65 trillion yuan, a decrease of 100 billion yuan from the previous year. Considering the needs of cross-cycle policy design and adjustment, combined with the project preparation, scientifically arrange the release and issuance rhythm of new special bond quotas and maintain support for key projects. In the first half of the year, a total of 1,014.3 billion yuan of special bonds were issued. After preliminary summary, about half of the new special bonds are invested in major projects in transportation infrastructure, municipal and industrial parks; About 30% invested in affordable housing projects and major projects in social undertakings such as health, education, old-age care and cultural tourism; About 20% invested in major projects in the fields of agriculture, forestry, water conservancy, energy, urban and rural cold chain logistics, which better guaranteed local reasonable financing needs, accelerated the filling of shortcomings in people’s livelihood areas such as health care, and better served the national strategy.
(3) The government’s debt financing mechanism has been continuously improved.
First, continuously improve the issuance mechanism of national debt. Scientifically coordinate the issuance of national debt with the management of central budget revenue and expenditure and treasury funds, and reasonably grasp the rhythm of national debt issuance. We will optimize the bidding and issuance rules of book-entry treasury bonds and improve the renewal mechanism of book-entry treasury bonds. Actively and steadily carry out the savings bonds (electronic) pilot of mobile banking sales, and broaden the sales channels in savings bonds.
The second is to reasonably determine the new debt limit. The National People’s Congress is requested to approve the new local government debt limit of 4.47 trillion yuan in 2021, a decrease of 260 billion yuan compared with the previous year. While maintaining active fiscal policy support and basically stable macro leverage ratio, it will leave policy space for coping with new risk challenges in the future.
The third is to improve local government debt projects and fund management mechanisms. According to the principle of "funds follow the project", do a good job in project reserve and preliminary preparation. Use information technology to implement penetrating supervision of special bond projects and strengthen the full-cycle and normalized risk monitoring of the projects. We will issue performance management measures for special bond funds, conduct "double monitoring" on the budget implementation progress and performance target implementation of special bond funds, suspend or stop funding for projects that seriously deviate from performance targets, and allow provincial governments to adjust their use in a timely manner according to procedures for projects that are difficult to build and implement in a short period of time due to insufficient preparation to ensure that legal bonds do not have any risks. Standardize the management of local government bond information disclosure platform and further promote the disclosure of local government debt information.
The fourth is to further improve the issuance of local government bonds. Continue to take the initiative to act as an agent for local bond issuance operations to ensure efficient and smooth financing of local bond issuance during the epidemic. Issued interim measures for the management of credit rating of local government bonds, put forward regulatory requirements for credit rating agencies of local government bonds, and promoted the healthy development of credit rating of local government bonds. We will fully open the counter issuance of local government bonds, encourage all localities to reasonably increase the frequency and scale of issuance, and guide seven provinces including Hebei and Sichuan to issue 4.36 billion yuan of local government bonds through the counters of commercial banks.
Fifth, the work of resolving the hidden debt risk of local governments should be done. Comprehensively strengthen the demonstration of project financial affordability and budget review, and all the financial expenditures are included in the budget management according to law. Improve the allocation mechanism of local governments and their departments to enterprises and institutions according to law, and prohibit local governments from increasing implicit debts in the form of corporate bonds. Establish a market-oriented and rule-based debt default disposal mechanism, steadily resolve the hidden debt stock, strengthen information sharing and collaborative supervision among departments, and find, investigate and hold accountable hidden debt problems discovered by auditing, accounting and supervision of various industries, and resolutely stop illegal borrowing. Steadily promote the work of supplementing the capital of small and medium-sized banks with special bonds.
Six, adhere to the priority development of agriculture and rural areas, and comprehensively promote rural revitalization to take new steps.
After winning the fight against poverty, it is necessary to comprehensively promote rural revitalization, which is a historic shift in the focus of the work of agriculture, rural areas and farmers. The financial department resolutely implements the spirit of the important instructions of the Supreme Leader General Secretary and the decision-making arrangements of the CPC Central Committee and the State Council, timely adjusts and optimizes the working mechanism and measures, effectively promotes the work of consolidating and expanding the achievements of poverty alleviation, supports the full implementation of the rural revitalization strategy, and strives to make hundreds of millions of farmers live a better life together.
(1) Consolidate and expand the achievements in tackling poverty.
First, retain, adjust and optimize the original special poverty alleviation funds of the central government. We will adjust and optimize the original special poverty alleviation funds of the central government to the subsidy funds for the central government to promote rural revitalization, and make it clear that during the transition period, the convergence funds will be tilted to support the key counties for national rural revitalization. In 2021, 156.1 billion yuan of bridging funds will be arranged, 10 billion yuan more than in 2020, and 70% of the total funds will be invested in the western provinces, and a number of key rural revitalization counties will be supported in the poverty-stricken counties in the western region.
Second, related transfer payments continue to be supported. For the relevant transfer payments that obliquely support 832 poverty-stricken counties during the period of poverty alleviation, they will continue to be implemented during the transition period; For the relevant transfer payments that are inclined to support deep poverty areas such as "three districts and three States" during the period of poverty alleviation, they will be gradually adjusted and optimized to support the key counties for national rural revitalization during the transition period.
The third is to continue to implement the policy of overall integration of agriculture-related funds in poverty-stricken counties. In conjunction with relevant departments, we issued the Notice on Continuing to Support Poverty-stricken Counties to Coordinate the Use of Financial Agriculture-related Funds, continued to optimize the main institutional arrangements for the poverty-stricken period, kept the overall scope of integrated funds unchanged, and made adjustments and improvements in highlighting the key points of the use of integrated funds, increasing the inclined support for poverty-stricken counties, and strengthening the supervision of project funds, effectively supporting poverty-stricken counties to consolidate and expand poverty-stricken achievements and promote rural revitalization according to local conditions.
(2) The rural revitalization strategy has been steadily advanced.
First, the quality and efficiency of agricultural development have been effectively improved. Support the protection of livestock and poultry germplasm resources and the establishment of seed industry parks, and explore and promote the development of large-scale seed enterprises with "integration of breeding, reproduction and promotion". Coordinate and support the creation of 50 national modern agricultural industrial parks, 50 advantageous industrial clusters and 298 strong agricultural towns to promote the revitalization of rural industries. Comprehensively promote the construction of cold storage and preservation facilities for agricultural products. Improve the national agricultural credit guarantee policy system and better solve the problems of "difficult financing" and "expensive financing" of new agricultural business entities.
The second is to support the steady progress of sustainable development in agriculture and rural areas. Study and implement the new round of fishery subsidy policy during the 14th Five-Year Plan to accelerate the high-quality development of fishery. We will allocate 16.805 billion yuan to continue to implement the third round of grassland ecological compensation policy. Start the pilot project of green farming and recycling agriculture, and further promote the pilot project of water system connectivity and water and beauty rural construction. We will implement the five-year action to improve the rural human settlements and implement the financial reward and compensation policy for the rural toilet revolution and the whole village. Increase subsidies for the maintenance of rural water supply projects and improve the level of rural water supply security.
Third, the comprehensive rural reform continued to deepen. Support the construction of "five reds and four haves" red beautiful villages, and create a physical textbook for the study and education of party history that preserves the initial mission. Continue to support and expand the village-level collective economy, improve the financial reward and compensation policy for rural public welfare undertakings, and continue to promote the modernization of rural governance system and governance capacity. We will further promote the pilot projects of comprehensive rural reform and rural complex construction, and support local governments to explore demonstration models for comprehensive rural revitalization according to local conditions.
Fourth, the government’s policy of purchasing agricultural and sideline products in poverty-stricken areas has been continuously optimized. Continue to promote the government procurement of agricultural and sideline products in poverty-stricken areas, give full play to the advantages of continuous and stable procurement of agricultural and sideline products by budget units, cultivate a number of rural characteristic industries and advantageous brands that can drive long-term and stable income increase, promote the revitalization of rural industries, and promote the development of poverty-stricken areas in a wider field and at a higher level.
Seven, increase investment in the field of ecological and environmental protection, pollution prevention and control battle has achieved remarkable results.
Thoroughly implement the supreme leader’s thought of ecological civilization, resolutely shoulder the political responsibility of supporting the fight against pollution and promoting the construction of ecological civilization, innovate mechanisms, increase investment, highlight key points, and further improve environmental quality. In 2021, the central government allocated 437.4 billion yuan to support pollution prevention and ecological civilization construction.
(1) The defence of blue sky, clear water and pure land is strongly guaranteed.
First, continue to promote the blue sky defense war. 27.5 billion yuan was allocated for air pollution prevention and control to support pollution reduction and carbon reduction. Further expand the scope of support for winter clean heating in the northern region, and add support to 20 cities including Lanzhou and Jiamusi through competitive evaluation, and continue to promote the green transformation of energy consumption. Continue to carry out in-depth treatment of coal-fired boilers and industrial furnaces in key areas, and support the coordinated control of "PM2.5+ ozone" pollution. From January to June, the average concentration of PM2.5 in 339 cities at prefecture level and above was 34 μ g/m3, down 2.9% year-on-year, and the air quality continued to improve.
The second is to continuously strengthen the defense of clear water. A total of 21.7 billion yuan was allocated for water pollution prevention and control, to promote water pollution control in river basins, water ecological protection and restoration, centralized drinking water sources and groundwater ecological environment protection, and the allocation of funds was tilted towards key river basins such as the Yangtze River and the Yellow River. 3.6 billion yuan was allocated for rural environmental improvement, focusing on rural domestic sewage treatment, supporting the treatment of black and odorous water bodies in rural areas, and speeding up the completion of outstanding shortcomings affecting rural human settlements. From January to June, the proportion of sections with excellent water quality (Class I-III) increased by 1.1 percentage points year-on-year, while the proportion of sections with poor water quality decreased by 0.7 percentage points year-on-year.
The third is to actively support the fight against pure land. We will allocate 4.4 billion yuan for the prevention and control of soil pollution, strengthen the source prevention and risk control of soil pollution, highlight the prevention and control of key areas, key industries and key pollutants, promote the safe use of agricultural land and ensure food security. Revise the Measures for the Administration of Soil Pollution Prevention Funds, actively guide the establishment of provincial soil pollution prevention funds, and promote the establishment of diversified investment mechanisms.
(2) Major ecological protection and restoration projects continued to advance.
First, the management of grass and sand system in landscape forest fields and lakes has been solidly promoted. In 2021, the central government allocated 9.9 billion yuan to continue the pilot projects of ecological protection and restoration of lakes and grasses in mountain forest fields such as Wuliangsuhai in Inner Mongolia and Three Gorges of the Yangtze River in Hubei, and started the first batch of 10 integrated protection and restoration projects of lakes and grasses in mountain forest fields during the Tenth Five-Year Plan period, such as the Jiulong River Basin in Fujian and the water conservation area in the upper reaches of the Yellow River in Gannan, Gansu, so as to make overall plans to promote the management, comprehensive management and source control of lakes and grasses in mountain forest fields, and effectively improve the quality and stability of the ecosystem.
The second is the in-depth implementation of marine ecological protection and restoration. In 2021, 4 billion yuan will be allocated for marine ecological protection and restoration, which will support the overall promotion of the "Blue Bay" rectification action, mangrove protection and restoration, coastal protection and restoration projects and the treatment of pollutants entering the sea, so as to enhance the ecological functions of urban bays and islands, improve the quality of marine ecological environment and enhance the marine ecological carbon sink capacity.
Third, the ecological protection and restoration of forestry grasslands continued to advance. In 2021, 103.9 billion yuan will be allocated for the transfer payment of forestry and grassland, the policy of full coverage of natural forest protection will be implemented, the returning farmland to forests and grasslands and grassland ecological restoration and management will be supported, wetland protection and restoration will be strengthened, and a nature reserve system with national parks as the main body will be built to promote biodiversity protection. Support large-scale land greening operations. Improve the policy of ecological rangers, implement compensation for forest ecological benefits, strengthen wildlife protection, and strengthen forest grassland fire prevention and forest pest control.
Fourth, the environmental restoration and management of abandoned mines left over from history has been promoted in an orderly manner. In 2021, 2 billion yuan will be allocated to support key areas covered by the national strategy, such as the Yellow River Basin and the Qinghai-Tibet Plateau, to carry out environmental restoration and treatment of abandoned mines left over from history, to restore damaged mountains and surface vegetation, and to reclaim and utilize abandoned land, to improve regional ecological conditions and living environment, and to enhance ecosystem quality and service functions.
(3) The ability to respond to emergencies such as natural disasters has been steadily improved.
First, the construction of aviation firefighting forces was actively promoted. Support forest and grassland fire prevention and extinguishing work, formulate and issue the Interim Provisions on the Management of Central Subsidy for Local Forest and Grassland Aviation Fire-fighting Charter Funds, strengthen the responsibility of local governments, and standardize the charter procedures. Cooperate with relevant departments to actively study the construction plan of forest fire fighting aviation force during the 14 th Five-Year Plan period.
Second, the effective implementation of natural disaster relief work. Quickly start the central mechanism for rapid allocation of natural disaster relief funds, and support the rescue and relief work and the resettlement of the affected people. Since the beginning of this year, a total of 4.934 billion yuan has been allocated for flood relief in Henan and 10 million yuan for earthquake relief in Yunnan and Qinghai provinces.
Third, the management level of the central emergency relief materials reserve has gradually improved. In conjunction with relevant departments, study and draft measures for the management of central emergency relief materials reserves, and clarify the management system and financial fund management regulations for the procurement, storage, call, supplement and write-off of reserve materials. Supervise and urge the storage of additional materials in 2020 to ensure the needs of disaster relief work.
Fourth, the comprehensive risk survey of natural disasters was carried out in an orderly manner. 1.48 billion yuan was allocated to actively support the first national comprehensive risk survey of natural disasters, which was mainly used for the relevant expenditures of the central government at the same level and the expenditures of cross-provincial (autonomous regions and municipalities directly under the central government) census work undertaken by the central departments, and appropriate subsidies were given to local governments through transfer payments.
Fifth, the ability to prevent and control extra-large geological disasters has been steadily improved. Arrange 5 billion yuan for the prevention and control of extra-large geological disasters, and support local governments to strengthen the comprehensive prevention and control system and prevention and control capacity building for the comprehensive management of extra-large geological disasters and the investigation and evaluation, monitoring and early warning of geological disasters in key areas.
Eight, coordinate the reform of fiscal and taxation system and financial management supervision, and steadily improve the level of financial governance.
Give full play to the breakthrough and leading role of reform, on the basis of the established framework of modern financial system, continue to deepen the reform of fiscal and taxation system, strengthen financial management supervision, further enforce financial discipline, and steadily improve the level of financial governance.
(1) Deepen the reform of the fiscal and taxation system and accelerate the establishment of a modern fiscal system.
First, the budget management system is more sound. It was submitted to the State Council for printing and distributing the Opinions on Further Deepening the Reform of Budget Management System, clearly strengthening the overall planning of financial resources, standardizing the management of budget revenue and expenditure, strengthening budget control and risk prevention, etc. Deepen the publicity of the budget and further improve the transparency of the budget. Improve the performance management system, accelerate the construction of an all-round, whole-process and full-coverage budget performance management system, promote the deep integration of performance management and budget management, and further improve the efficiency of financial resource allocation and use.
Second, the reform of the tax system continued to deepen. Implement the statutory principle of taxation and promote the smooth introduction of the stamp tax law. Actively promote the legislation of value-added tax, consumption tax, customs duties and other taxes. Promote and improve the local tax system, and combine the consumption tax legislation to study and promote the reform of the backward consumption tax collection.
Third, the financial system is improving day by day. We will implement the reform plan for the division of financial affairs and expenditure responsibilities between the central and local governments in the fields of education, science and technology, and ecological environment, and further clarify the scope of responsibilities between the central and local governments. Study and promote the reform of the financial system below the provincial level. At the same time, in accordance with the decision-making arrangements of the CPC Central Committee and the State Council, the mechanism of direct financial funds will be implemented in a normal way to expand the scope of direct funds.
Fourth, reforms in the fields of state-owned assets and state-owned enterprises have been steadily advanced. Deepen the reform of state-owned assets and state-owned enterprises, and implement the work related to the three-year action of state-owned enterprise reform. Improve the system of state-owned assets management, and promote the improvement of the reporting mechanism of state-owned assets management. Carry out a special action to register the property rights of state-owned financial capital. Study and improve the authorized management system and incentive and restraint mechanism of state-owned financial capital, and promote the reform of state-owned key financial enterprises.
(2) Optimize financial management and significantly improve the level of fully performing financial functions according to law.
First, the financial and legal system is more sound. Issued the "Several Measures of the Ministry of Finance on Implementing the Spirit of the Fifth Plenary Session of the 19th CPC Central Committee and the Spirit of the Central Working Conference on Governing the Country by Law in an All-round Way" to give full play to the service and guarantee role of the financial rule of law in the reform of the fiscal and taxation system. The Legislative Work Rules of the Ministry of Finance and the Administrative Measures for the Formulation of Administrative Normative Documents of the Ministry of Finance were revised and completed, and the fiscal legislative work and policy-making procedures were more scientific and standardized. Promote the promulgation and formal implementation of regulations on the management of administrative state-owned assets. We will promote the legislative work of the government procurement law (revised), the accounting law (revised), the regulations on the management of state-owned financial capital (formulated), and the measures for the evaluation and management of state-owned assets (revised) in an orderly manner. We will steadily push forward the formulation and revision of financial regulations in the fields of budget review, government procurement, social assistance and financial management. Timely carry out post-legislative evaluation of budget law. Strengthen legislative research and tackling key problems in key areas of finance, and give better play to the leading and promoting role of financial law construction in financial reform.
Second, the "streamline administration, delegate power, strengthen regulation and improve services" reform in the financial sector was further promoted. Continue to streamline the examination and approval items. Up to now, the administrative examination and approval items at the department level have been streamlined by 88%, and only three administrative examination and approval items have been retained at the department level, continuously improving the financial administrative efficiency. In accordance with the principle of "legal rights and responsibilities, equal rights and responsibilities", we will steadily promote the preparation of the list of rights and responsibilities of the Ministry of Finance, sort out the legal basis, the way of performing responsibilities and the situation of pursuing responsibilities one by one, and lay the foundation for fully performing financial functions according to law. Further standardize administrative law enforcement procedures, explore online administrative punishment hearings, and continue to promote the implementation of the three systems of administrative law enforcement publicity, record of the whole process of law enforcement and legal review of major law enforcement decisions in our department.
(3) Strengthen financial supervision and promote the continuous improvement of the market economic order.
First, the supervision system and mechanism are more perfect. Study and draft "Guiding Opinions on Strengthening Accounting Supervision", further promote the revision process of accounting law and CPA law, compact the main responsibilities of various regulatory departments, and promote the development of accounting supervision as a chess game. Resolutely obey and serve the inner-party supervision, and pay attention to the organic integration and coordination of accounting supervision, NPC supervision, audit supervision and other supervision to form a joint force of supervision.
Second, the supervision is constantly increasing. Strengthen policy tracking and efficiency, focus on key areas such as the implementation of fiscal and taxation policies, prevention and resolution of local government debt risks, improvement of fund performance, disclosure of budget and final accounts, and illegal fees charged by enterprises, and flexibly use various means such as supervision and inspection, special governance and performance evaluation to ensure the effective implementation of major fiscal and taxation policies of the central government and modern fiscal and taxation system reform measures, and resolutely prevent financial funds from becoming "Tang monk meat". We will fully implement the government’s request to live a tight life, resolutely investigate and deal with the unhealthy trend of using financial funds to build buildings and halls in violation of regulations, seriously investigate and deal with all kinds of extravagance and waste, and never let financial discipline be a "scarecrow."
Third, accounting audit supervision has been further strengthened. Adhere to "zero tolerance" to crack down on financial fraud, strictly supervise accounting firms engaged in securities business, improve the quality of accounting practice, and promote the maintenance and standardization of market economic order.
IX. Prospects for fiscal policy
The Ministry of Finance will adhere to the guidance of the Supreme Leader’s Socialism with Chinese characteristics Thought in the New Era, implement the spirit of the Central Economic Work Conference and the deployment of the government work report, adhere to the general tone of striving for progress while maintaining stability, implement the new development concept completely, accurately and comprehensively, adhere to the proactive fiscal policy to improve quality, efficiency and sustainability, maintain the continuity, stability and sustainability of fiscal policy, make overall plans for fiscal policy convergence this year and next, effectively improve policy efficiency and capital efficiency, maintain economic operation in a reasonable range, and strive to complete economic and social development throughout the year.
(1) Improve quality and efficiency, implement a proactive fiscal policy, and better play a key role in stabilizing the economy.
Further implement the normalized direct access mechanism of financial funds, strengthen monitoring, analysis and judgment, ensure the smooth operation, accuracy and efficiency of the normalized direct access mechanism, speed up the progress of fiscal expenditure, strengthen the expenditure guarantee in key areas, and effectively improve the efficiency of fund use. Moderately speed up the issuance of local government special bonds, make good use of local government special bond funds, guide local governments to strengthen project reserves, and promote the formation of physical workload at the end of this year and early next year. Strengthen the fund performance management of special bond projects and improve the efficiency of bond fund allocation and use. We will implement the detailed tax reduction and fee reduction policy, strengthen policy propaganda, intensify the rectification of illegal fees charged by various enterprises, resolutely refuse to collect "excessive taxes and fees", follow up the monitoring, analysis and judgment of the effect of tax reduction and fee reduction, and timely study and solve outstanding problems reflected by market players.
(two) to strengthen the overall planning of financial resources, and enhance the financial security of major national strategic tasks.
Support the expansion of effective investment, ensure the demand for funds for key projects, optimize the arrangement of government investment, and enhance the stamina of investment growth. Promote regional coordinated development and new urbanization with people as the core, and strive to improve the level of equalization of basic public services. Support the full implementation of the rural revitalization strategy, and promote the effective connection between consolidating and expanding the achievements of poverty alleviation and rural revitalization. Strengthen pollution prevention and ecological construction, and promote key ecological protection and restoration, peak carbon dioxide emissions and carbon neutrality in an orderly manner.
(3) Focus on safeguarding and improving people’s livelihood, and constantly enhance people’s sense of gain and happiness.
Do everything possible to stabilize and expand employment, and continue to support the employment assistance for key groups. Strengthen the basic livelihood security, support the solution of the most direct and realistic interests of the masses such as education, old-age care and medical care, and continue to do a good job in funding for vaccination and epidemic prevention and control. Fully implement the government’s request to live a tight life and save money for the people. Strengthen the evaluation of the financial affordability of people’s livelihood policies, improve the standardization and transparency of people’s livelihood expenditure management, and enhance the sustainability of people’s livelihood policies.
(four) to promote innovation and industrial upgrading, and ensure the stability of the supply chain of the industrial chain.
Support the acceleration of self-reliance in science and technology, strengthen the national strategic scientific and technological strength, increase investment in basic research, lay a solid foundation for key core technologies, and accelerate the transfer and transformation of scientific and technological achievements. Promote the strengthening of the resilience of the industrial chain supply chain and support the high-quality development of the manufacturing industry. Stimulate the innovation vitality of enterprises and talents, support the development of inclusive finance, and strengthen the incentive and guarantee of innovation.
(V) Actively prevent and resolve risks in key areas and promote sustainable financial development.
Strengthen supervision and accountability, and continue to focus on preventing and resolving the hidden debt risks of local governments. Grasp the bottom line of the "three guarantees" at the grassroots level, strengthen the implementation of local responsibilities, increase the sinking of financial resources, and strengthen support for difficult areas on the basis of continuing to increase the central government’s financial support for local areas. Actively play the role of accounting supervision, strengthen policy tracking and efficiency, be strict in financial discipline, and maintain a good market economic order and business environment.
(6) Further deepen the reform of the fiscal and taxation system and accelerate the establishment of a modern fiscal system.
Continue to deepen the reform of budget management system, strengthen budget constraints and performance management, accelerate the construction of expenditure standard system, further standardize expenditure management, optimize expenditure structure, and strengthen medium-term fiscal planning management. We will implement the reform plan for the division of financial powers and expenditure responsibilities between the central and local governments, and accelerate the study and promotion of the reform of the financial system below the provincial level. Implement the statutory principle of taxation and actively promote tax legislation such as value-added tax, consumption tax and customs duties. Constantly improve the modern tax system, improve the local tax and direct tax system, steadily promote the reform of the consumption tax collection link of some backward items and steadily delimit the localities. Promote the reform of non-tax revenue as a whole. Continue to deepen the reform of state-owned assets and state-owned enterprises, and promote the reform of key state-owned financial institutions.
