On May 21, 2021, the State Council Information Office held a regular briefing on direct fiscal funds policy. Statistics from the Ministry of Finance show that more than 90% of direct funds from the central government have been issued. In terms of expenditure effectiveness, in terms of supporting project construction in key areas, preliminary statistics show that there are more than 2,400 projects with direct funds of more than 100 million yuan arranged in various regions, with a total scale of more than 1.1 trillion yuan.

Zhang Yiqun, vice chairman of the Performance Management Committee of the Chinese Institute of Finance, said that direct funds from the central government have a significant demonstration effect. Judging from the current situation, key expenditures have been effectively guaranteed, which has effectively promoted the sustainable and healthy development of the local economy and society.

Vice Minister of Finance Xu Hongcai said at the meeting that the scope of direct funds in 2021 will be changed from the original incremental funds to the existing stock funds, involving a total of 27 transfer payments with a total value of 2.8 trillion yuan, mainly involving funds that benefit enterprises and the people. The total amount has increased by 1.1 trillion yuan, basically realizing the full coverage of the central government's livelihood subsidy funds.

More than 90% of direct funds from the central government have been released

The Ministry of Finance will, in accordance with the progress of relevant work and the actual demand for funds by the localities, speed up the calculation and review with relevant departments, and lower the remaining funds as soon as possible. "Xu Hongcai said that less than 10% have not been issued. These need to be issued according to the progress of the work, and some need to be implemented in the next few months. At the same time, they are urged to speed up the progress of the decomposition and refinement of funds, perform the filing procedures in a timely manner, and release the funds as soon as possible. The user units should form actual expenditures as soon as possible, and promote the rapid implementation of relevant policies.

According to Liu Jinyun, director of the Treasury Payment Center of the Ministry of Finance, from the perspective of budgetary funding, more than 90% of the direct funds are distributed to the grassroots and users. The distribution is divided into several levels: out of 2.8 trillion yuan, the central government has issued 2.579. Trillion yuan, 92.1% of the allocation ratio; provincial finance has allocated 2.362 trillion yuan, reaching 91.6% of the central government's allocation. Among them, in accordance with relevant regulations, 0.869 trillion yuan has been used at the provincial level, and 1.493 trillion yuan has been allocated to cities and counties. After receiving the above direct funding indicators, the city and county finance has allocated 1.428 trillion yuan to fund users, reaching the provincial level. 95.6% released.

Liu Jinyun said that after the budget targets were issued, overall, the actual expenditures exceeded 1 trillion yuan, and on a pro-rata basis, the progress exceeded 40%. This progress is significantly higher than the progress of local general public budget expenditures. From the perspective of expenditure effectiveness, highlight the use of direct funds and promote the flow of funds to the direction and fields that the public hopes and enterprises expect, which are mainly reflected in the following aspects:

In terms of supporting the employment of residents, preliminary calculations, employment subsidies and inclusive finance to support entrepreneurship, etc., fund expenditures of more than 11 billion yuan, support the implementation of employment priority policies, and stabilize the overall employment situation; in terms of supporting people’s livelihood, local governments will spend more than 10 million Compulsory education, basic medical care, basic housing and other basic people’s livelihood expenditures exceeded 740 billion yuan, accounting for nearly 70% of the total expenditures, effectively playing a role in safeguarding basic people’s livelihood; in terms of supporting market entities, according to incomplete statistics , The accumulated expenditures of related benefit enterprise funds exceeded 150 billion yuan, benefiting 280,000 market entities of various types, stimulating the vitality of market entities and enhancing the stamina of enterprise development; in terms of supporting the operation of the basic level, the county-level basic financial guarantee mechanism rewards and supplements funds Expenditure exceeded 180 billion yuan to effectively guarantee the key expenditure needs of grassroots guaranteeing wages and guaranteeing operations, and to secure the bottom line of the “three guarantees” at the grassroots level. In terms of supporting project construction in key areas, preliminary statistics show that the direct funds arranged by various regions exceed 100 million yuan. There are more than 2,400 projects with a total scale of more than 1.1 trillion yuan, which effectively guarantees the orderly development of major projects in farmland water conservancy construction and transportation infrastructure, effectively promotes investment to make up for shortcomings, and lays a solid foundation for economic stability and recovery.

Zhang Yiqun said that the fiscal direct funding mechanism ensures that funds go directly to the local area, key expenditures are guaranteed, and the policy of benefiting enterprises and people has been implemented faster and more effectively. In the next step, it is necessary to promote and improve the normalized direct mechanism of fiscal funds, promote the timely distribution and distribution of direct funds, regulate safe use, improve the efficiency of funds, and give better play to the actual effect of benefiting the enterprise and the people. Editor/Xu Shengpeng