各位代表：

Esteemed Deputies,

受国务院委托，现将2018年中央和地方预算执行情况与2019年中央和地方预算草案提请十三届全国人大二次会议审议，并请全国政协各位委员提出意见。

The Ministry of Finance has been entrusted by the State Council to submit this report on the execution of the central and local budgets for 2018 and on the draft central and local budgets for 2019 to the present Second Session of the 13th National People's Congress (NPC) for your deliberation and for comments from members of the National Committee of the Chinese People's Political Consultative Conference (CPPCC).

一、2018年中央和地方预算执行情况

I. Execution of the 2018 Central and Local Budgets

2018年是全面贯彻党的十九大精神的开局之年。在以习近平同志为核心的党中央坚强领导下，各地区各部门以习近平新时代中国特色社会主义思想为指导，深入贯彻党的十九大和十九届二中、三中全会精神，坚持稳中求进工作总基调，按照高质量发展要求，落实党中央、国务院决策部署，严格执行十三届全国人大一次会议审查批准的预算，保持了经济持续健康发展和社会大局稳定，朝着实现全面建成小康社会的目标迈出了新的步伐。中央和地方预算执行情况较好。

The year 2018 was the first year of fully implementing the guiding principles from the 19th National Congress of the Communist Party of China (CPC). Under the strong leadership of the CPC Central Committee with Comrade Xi Jinping at its core, all localities and departments followed the guidance of Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, thoroughly put into practice the guiding principles from the Party's 19th National Congress and the second and third plenary sessions of the 19th Party Central Committee, and remained committed to the general principle of pursuing progress while ensuring stability. With due consideration to the requirements of high quality development, we implemented the policy decisions and plans of the CPC Central Committee and the State Council, and acted in strict accordance with the budgets reviewed and approved by the First Session of the 13th NPC. As a result, we have maintained sustained and healthy economic development and overall social stability, and have taken new strides toward achieving our goal of building a moderately prosperous society in all respects. Execution of both central and local budgets was satisfactory.

（一）2018年一般公共预算收支情况。

1. General public budgetary revenue and expenditure in 2018

1．全国一般公共预算。

1) National general public budget

全国一般公共预算收入183351.84亿元，为预算的100.1%，比2017年同口径（下同）增长6.2%。加上调入资金及使用结转结余14772.77亿元（包括中央和地方财政从预算稳定调节基金、政府性基金预算、国有资本经营预算调入资金，以及地方财政使用结转结余资金），收入总量为198124.61亿元。全国一般公共预算支出220906.07亿元，完成预算的105.3%，增长8.7%。加上补充中央预算稳定调节基金1018.54亿元，支出总量为221924.61亿元。收支总量相抵，赤字23800亿元，与预算持平。

Revenue in the national general public budget reached 18.335184 trillion yuan, representing 100.1% of the budgeted figure and an increase of 6.2% over 2017. With the addition of 1.477277 trillion yuan of funds from other sources and utilized carryover and surplus funds (namely, funds transferred from the Central Budget Stabilization Fund and local budget stabilization funds, the budgets of central and local government-managed funds, and the budgets of central and local government state capital operations; and carryover and surplus funds used by local governments), the total revenue rose to 19.812461 trillion yuan. 

Expenditure in the national general public budget reached 22.090607 trillion yuan, representing 105.3% of the budgeted figure and an increase of 8.7%. With the addition of 101.854 billion yuan used to replenish the Central Budget Stabilization Fund, the total expenditure rose to 22.192461 trillion yuan. Total expenditure therefore exceeded total revenue, leaving a deficit of 2.38 trillion yuan, which is consistent with the figure projected.

2018年我国经济运行总体平稳、稳中有进，全国一般公共预算收入保持增长。1－4月增长12.9%，随着5月1日起实施增值税减税措施，出台支持小微企业发展税收优惠政策，10月1日起提高个人所得税基本减除费用标准并适用新的税率表，以及经济出现新的下行压力等，5－12月收入增幅放缓至2.6%。从收入构成看，税收收入156400.52亿元，增长8.3%，占一般公共预算收入比重提高至85.3%；非税收入26951.32亿元，下降4.7%，占一般公共预算收入比重为14.7%。

Throughout 2018, China was able to achieve overall economic stability while also ensuring progress, and revenue in the national general public budget saw continued growth. The growth rate was 12.9% from January to April. As a combined result of measures on reducing value added tax (VAT) effective from May 1, preferential tax policies issued to support the development of small and micro businesses, the rise of the individual income tax threshold (basic standard deduction) and application of the new tax rate table starting from October 1, and new downward pressure on the economy, the revenue growth rate from May to December slowed to 2.6%. In terms of revenue composition, tax revenue totaled 15.640052 trillion yuan, an increase of 8.3% and rising to 85.3% as a proportion of national general public budget revenue; non-tax revenue totaled 2.695132 trillion yuan, a decrease of 4.7% and accounting for 14.7% of revenue in the national general public budget.

2．中央一般公共预算。

2) Central general public budget

中央一般公共预算收入85447.34亿元，为预算的100.1%，增长5.3%。加上从中央预算稳定调节基金调入2130亿元，从中央政府性基金预算、中央国有资本经营预算调入323亿元，收入总量为87900.34亿元。中央一般公共预算支出102381.8亿元，完成预算的99.1%，增长7.7%，其中，本级支出32707.81亿元，完成预算的100.7%，增长8.8%；对地方税收返还和转移支付69673.99亿元，完成预算的99%，增长7.2%。加上补充中央预算稳定调节基金1018.54亿元，支出总量为103400.34亿元。收支总量相抵，中央财政赤字15500亿元，与预算持平。

Revenue in the central government's general public budget reached 8.544734 trillion yuan, representing 100.1% of the budgeted figure and an increase of 5.3% over 2017. Adding in contributions of 213 billion yuan from the Central Budget Stabilization Fund and 32.3 billion yuan from the budgets of central government-managed funds and central government state capital operations, the total revenue amounted to 8.790034 trillion yuan.

Expenditure in the central government's general public budget totaled 10.23818 trillion yuan, representing 99.1% of the budgeted figure and an increase of 7.7%. Within this total figure, central government expenditure reached 3.270781 trillion yuan, representing 100.7% of the budgeted figure and an increase of 8.8%; tax rebates and transfer payments from central to local governments reached 6.967399 trillion yuan, representing 99% of the budgeted figure and an increase of 7.2%. With the addition of 101.854 billion yuan contributed to the Central Budget Stabilization Fund, the total expenditure reached 10.340034 trillion yuan. Total expenditure exceeded total revenue, leaving a deficit of 1.55 trillion yuan, which is consistent with the figure projected.

中央一般公共预算主要收入项目具体情况是：国内增值税30753.04亿元，为预算的104%。国内消费税10631.75亿元，为预算的100.6%。进口货物增值税、消费税16878.75亿元，为预算的98.9%。关税2847.75亿元，为预算的90.7%。企业所得税22241.81亿元，为预算的101.6%。个人所得税8324.41亿元，为预算的107.4%。出口货物退增值税、消费税15913.45亿元，为预算的107.7%。

Main revenue items in the central government's general public budget: Domestic VAT revenue was 3.075304 trillion yuan, 104% of the budgeted figure. Domestic excise tax revenue amounted to 1.063175 trillion yuan, 100.6% of the budgeted figure. Revenue from VAT and excise tax on imports totaled 1.687875 trillion yuan, 98.9% of the budgeted figure. Revenue from customs duties came to 284.775 billion yuan, 90.7% of the budgeted figure. Corporate income tax revenue was 2.224181 trillion yuan, 101.6% of the budgeted figure. Individual income tax revenue was 832.441 billion yuan, 107.4% of the budgeted figure. VAT and excise tax rebates on exports totaled 1.591345 trillion yuan, 107.7% of the budgeted figure.

中央一般公共预算本级主要支出项目具体情况是：一般公共服务支出1503.68亿元，完成预算的103.4%。外交支出583.37亿元，完成预算的97.1%。国防支出11069.7亿元，完成预算的100%。公共安全支出2041.51亿元，完成预算的102.5%。教育支出1731.23亿元，完成预算的101.2%。科学技术支出3120.27亿元，完成预算的100.2%。粮油物资储备支出1375.64亿元，完成预算的100.3%。债务付息支出4161.65亿元，完成预算的97.1%。

Main expenditures in the central government's general public budget: General public service expenditures reached 150.368 billion yuan, 103.4% of the budgeted figure. Spending on foreign affairs totaled 58.337 billion yuan, 97.1% of the budgeted figure. National defense spending was 1.10697 trillion yuan, 100% of the budgeted figure. Public security expenses totaled 204.151 billion yuan, 102.5% of the budgeted figure. Spending on education came to 173.123 billion yuan, 101.2% of the budgeted figure. Spending on science and technology amounted to 312.027 billion yuan, 100.2% of the budgeted figure. Spending on stockpiling grain, edible oils, and other materials was 137.564 billion yuan, 100.3% of the budgeted figure. Interest payments on debt reached 416.165 billion yuan, 97.1% of the budgeted figure.

中央对地方税收返还和转移支付具体情况是：税收返还7987.86亿元，完成预算的98.2%。一般性转移支付38759.04亿元，完成预算的99.4%，占转移支付总额的比重提高至62.8%。专项转移支付22927.09亿元，完成预算的98.8%。

Central government tax rebates and transfer payments made to local governments: Tax rebates came to 798.786 billion yuan, 98.2% of the projected figure. General transfer payments reached 3.875904 trillion yuan, making up 99.4% of the budgeted figure and rising to 62.8% as a proportion of total transfer payments. Special transfer payments reached 2.292709 trillion yuan, 98.8% of the budgeted figure.

2018年中央一般公共预算收入超收90.34亿元和支出结余928.2亿元，全部转入中央预算稳定调节基金。中央预备费预算500亿元，实际支出17.48亿元，主要用于支持地方加强非洲猪瘟防控等方面，剩余482.52亿元（已包含在上述支出结余928.2亿元中）全部转入中央预算稳定调节基金。2018年末，中央预算稳定调节基金余额3763.99亿元。

In 2018, the extra 9.034 billion yuan of revenue in the central general public budget and the 92.82 billion yuan underspent were transferred in full to the Central Budget Stabilization Fund. Central government reserve funds budgeted for 2018 amounted to 50 billion yuan. Of this, actual spending was only 1.748 billion yuan, which was mainly used to support local governments in strengthening prevention and control of African swine fever, and in other areas. The 48.252 billion yuan surplus (already included in the aforementioned 92.82 billion yuan underspent) was transferred in full to the Central Budget Stabilization Fund. At the end of 2018, the Central Budget Stabilization Fund had a balance of 376.399 billion yuan.

3．地方一般公共预算。

3) Local general public budget

地方一般公共预算收入167578.49亿元，其中，本级收入97904.5亿元，增长7%；中央对地方税收返还和转移支付收入69673.99亿元。加上地方财政从地方预算稳定调节基金、政府性基金预算、国有资本经营预算调入资金及使用结转结余12319.77亿元，收入总量为179898.26亿元。地方一般公共预算支出188198.26亿元，增长8.7%。收支总量相抵，地方财政赤字8300亿元，与预算持平。

Revenue in the local general public budget reached 16.757849 trillion yuan. This figure included 9.79045 trillion yuan in local government revenue, which is an increase of 7% over 2017, and 6.967399 trillion yuan in tax rebates and transfer payments from the central government. With the addition of 1.231977 trillion yuan of funds transferred from local budget stabilization funds, local government-managed funds, and the local state capital operations budget as well as utilized carryover and surplus funds, the total revenue reached 17.989826 trillion yuan. Expenditures in the local general public budget totaled 18.819826 trillion yuan, representing an increase of 8.7%. Total expenditure exceeded total revenue, creating a local government deficit of 830 billion yuan, which is consistent with the figure projected.

（二）2018年政府性基金预算收支情况。

2. Budgetary revenue and expenditure of government-managed funds in 2018

按照地方政府债务管理有关规定，地方政府专项债务收支纳入政府性基金预算管理。

In accordance with the relevant regulations for management of local government debt, revenue and expenditure generated from local government special debt are included in the budgets of government-managed funds.

全国政府性基金收入75404.5亿元，增长22.6%。加上2017年结转收入385.59亿元和地方政府发行专项债券筹集收入13500亿元，全国政府性基金相关收入为89290.09亿元。全国政府性基金相关支出80562.07亿元，增长32.1%。

Revenue of China's government-managed funds in 2018 reached 7.54045 trillion yuan, a rise of 22.6%. Adding 38.559 billion yuan carried over from 2017 and 1.35 trillion yuan raised through local government issuance of special purpose bonds, the total revenue amounted to 8.929009 trillion yuan. Expenditure of government-managed funds totaled 8.056207 trillion yuan, an increase of 32.1%.

中央政府性基金收入4032.65亿元，为预算的104.4%，增长4.2%。加上2017年结转收入385.59亿元，收入总量为4418.24亿元。中央政府性基金支出4021.55亿元，完成预算的94.7%，增长8.4%，其中，本级支出3089.29亿元，对地方转移支付932.26亿元。调入一般公共预算1.46亿元。中央政府性基金收大于支395.23亿元，其中，结转下年继续使用358.24亿元；单项政府性基金结转超过当年收入30%的部分合计36.99亿元，按规定补充中央预算稳定调节基金。

Revenue of central government-managed funds reached 403.265 billion yuan, representing 104.4% of the budgeted figure and an increase of 4.2%. With the additional 38.559 billion yuan carried forward from 2017, the total revenue rose to 441.824 billion yuan. Expenditure of central government-managed funds totaled 402.155 billion yuan, representing 94.7% of the budgeted figure and an 8.4% increase. Broken down, this figure included 308.929 billion yuan of central government spending and 93.226 billion yuan of transfer payments to local governments. Funds transferred from central government-managed funds to the general public budget amounted to 146 million yuan. Revenue of central government-managed funds exceeded expenditure by 39.523 billion yuan. Of this figure, 35.824 billion yuan was carried forward to 2019, and 3.699 billion yuan, comprised of any portion of carryover funds from individual government-managed funds exceeding 30% of that fund's revenue in 2018, was contributed to the Central Budget Stabilization Fund in accordance with regulations.

地方政府性基金本级收入71371.85亿元，增长23.8%，其中，国有土地使用权出让收入65095.85亿元，增长25%。加上中央政府性基金对地方转移支付收入932.26亿元和地方政府发行专项债券筹集收入13500亿元，地方政府性基金相关收入为85804.11亿元。地方政府性基金相关支出77472.78亿元，增长32.9%，其中，国有土地使用权出让收入相关支出69941.04亿元，增长34.2%。

Revenue of local government-managed funds reached 7.137185 trillion yuan, an increase of 23.8%. Revenue from the sale of state-owned land-use rights accounted for 6.509585 trillion yuan of this figure, a 25% rise. Adding in the transfer payments of 93.226 billion yuan from central government-managed funds and 1.35 trillion yuan raised through local government issuance of special purpose bonds, the total revenue rose to 8.580411 trillion yuan. Expenditure of local government-managed funds totaled 7.747278 trillion yuan, a rise of 32.9%; of this spending 6.994104 trillion yuan was funded by revenue from the sale of state-owned land-use rights, an increase of 34.2%.

（三）2018年国有资本经营预算收支情况。

3. Budgetary revenue and expenditure of state capital operations in 2018

按照国有资本经营预算管理有关规定，国有资本经营预算收入主要根据国有企业上年实现净利润一定比例收取，同时按照收支平衡原则安排相关支出。2017年全国国有及国有控股企业（不含国有一级金融类企业）营业总收入53.75万亿元，实现净利润2.35万亿元，归属于母公司所有者的净利润1.42万亿元；年末资产总额183.52万亿元，负债总额118.46万亿元。

In accordance with relevant management regulations for the budgets of state capital operations, budgetary revenue from state capital operations is mostly collected as a certain proportion of the net profits of state-owned enterprises (SOEs) from the previous year, while expenditure is planned according to the principle of balance between expenditure and revenue. In 2017, Chinese SOEs and enterprises with state-held controlling stakes (not including class one state-owned financial enterprises) had a total business revenue of 53.75 trillion yuan, and their net profits reached 2.35 trillion yuan, of which 1.42 trillion yuan belonged to the owners of their parent companies; by the end of that year, their asset value totaled 183.52 trillion yuan and their total debt reached 118.46 trillion yuan.

全国国有资本经营预算收入2899.95亿元，增长9.8%。全国国有资本经营预算支出2159.26亿元，增长6.7%。

Budgetary revenue of state capital operations nationwide totaled 289.995 billion yuan in 2018, an increase of 9.8%, while expenditure totaled 215.926 billion yuan, an increase of 6.7%.

中央国有资本经营预算收入1325.31亿元，为预算的96.3%，增长1.6%。加上2017年结转收入113.59亿元，收入总量为1438.9亿元。中央国有资本经营预算支出1111.73亿元，完成预算的95.1%，增长10.1%，其中，本级支出1024.85亿元，对地方转移支付86.88亿元。调入一般公共预算321.54亿元，调入比例提高至25%。结转下年支出5.63亿元。

Budgetary revenue of central state capital operations was 132.531 billion yuan, representing 96.3% of the budgeted figure and an increase of 1.6%. With the added 11.359 billion yuan carried over from 2017, the total revenue was 143.89 billion yuan. Budgetary expenditure of central state capital operations reached 111.173 billion yuan, representing 95.1% of the budgeted figure and an increase of 10.1%. This expenditure included 102.485 billion yuan of central government spending and 8.688 billion yuan in transfer payments to local governments. A total of 32.154 billion yuan was transferred into the central general public budget, with the transfer proportion being raised to 25%; 563 million yuan of budgetary revenue from these operations has been carried over to 2019.

地方国有资本经营预算本级收入1574.64亿元，增长17.8%。加上中央国有资本经营预算对地方转移支付收入86.88亿元，收入总量为1661.52亿元。地方国有资本经营预算支出1134.41亿元，下降9.2%，主要是调入一般公共预算资金增加至432.45亿元。

Budgetary revenue of local state capital operations reached 157.464 billion yuan, a rise of 17.8%. Adding in the transfer payments of 8.688 billion yuan to local governments from the central state capital operations budget, the total revenue was 166.152 billion yuan. Budgetary expenditure of local state capital operations amounted to 113.441 billion yuan, a drop of 9.2%. This drop was mainly due to the proportion of funds allocated from the local state capital operations budget to the local general public budget being increased to 43.245 billion yuan.

（四）2018年社会保险基金预算收支情况。

4. Budgetary revenue and expenditure of social security funds in 2018

为均衡地区间企业职工基本养老保险基金负担、实现基本养老保险制度可持续发展，2018年出台实施了企业职工基本养老保险基金中央调剂制度，通过调剂将收支状况较好省份的基金结余按一定比例调剂至缺口省份，确保各地养老金按时足额发放。

To coordinate the burden of enterprise employees' basic aged-care pension among different regions and ensure sustainable development of the basic aged-care insurance system, in 2018 we put in place a central regulation system for enterprise employees' basic aged-care pension funds to be used inter-provincially. Through central regulation, we can proportionately allocate the surplus funds of provinces with a good balance of payments to those provinces with shortfalls, ensuring that pension benefits are paid across all regions on time and in full. 

全国社会保险基金收入72649.22亿元，增长24.3%，剔除机关事业单位基本养老保险后同口径增长7.3%，其中，保险费收入52543.2亿元，财政补贴收入16776.83亿元。全国社会保险基金支出64586.45亿元，增长32.7%，剔除机关事业单位基本养老保险后同口径增长12.7%。当年收支结余8062.77亿元，年末滚存结余86337.13亿元。

Revenue of social security funds nationwide reached 7.264922 trillion yuan, an increase of 24.3%; the increase would be 7.3% after deducting the basic aged-care pension funds for employees of Party and government offices and public institutions. This revenue included 5.25432 trillion yuan in insurance premiums and 1.677683 trillion yuan in government subsidies. Expenditure of social security funds nationwide totaled 6.458645 trillion yuan, representing an increase of 32.7%; the increase would be 12.7% after deducting the basic aged-care pension funds for employees of Party and government offices and public institutions. The social security fund surplus for 2018 was 806.277 billion yuan, which was rolled over to make the year-end balance 8.633713 trillion yuan.

中央社会保险基金收入582.11亿元，其中，保险费收入301.84亿元，财政补贴收入274.7亿元。加上地方上缴的中央调剂基金收入2413.3亿元，收入总量为2995.41亿元。中央社会保险基金支出532.13亿元，加上安排给地方的中央调剂基金支出2406.8亿元，支出总量为2938.93亿元。当年收支结余56.48亿元，年末滚存结余315.49亿元。

Revenue of central government social security funds reached 58.211 billion yuan, which included 30.184 billion yuan in insurance premiums and 27.47 billion yuan in government subsidies. With the addition of 241.33 billion yuan contributed by local governments to come under central regulation, the total revenue rose to 299.541 billion yuan. Expenditure of central government social security funds reached 53.213 billion yuan. Adding in 240.68 billion yuan reallocated to local governments through central regulation, the total expenditure rose to 293.893 billion yuan. The surplus for 2018 was 5.648 billion yuan, which was rolled over to make the year-end balance 31.549 billion yuan.

地方社会保险基金收入72067.11亿元，其中，保险费收入52241.36亿元，财政补贴收入16502.13亿元。加上中央调剂资金收入2406.8亿元，收入总量为74473.91亿元。地方社会保险基金支出64054.32亿元，加上中央调剂资金支出2413.3亿元，支出总量为66467.62亿元。当年收支结余8006.29亿元，年末滚存结余86021.64亿元。

Revenue of local government social security funds reached 7.206711 trillion yuan, which included 5.224136 trillion yuan in insurance premiums and 1.650213 trillion yuan in government subsidies. Adding in 240.68 billion yuan of local government funds reallocated by the central government, the total revenue rose to 7.447391 trillion yuan. Expenditure of local government social security funds was 6.405432 trillion yuan. After adding 241.33 billion yuan of local government funds reallocated by the central government, the total rose to 6.646762 trillion yuan. The local government social security fund surplus for 2018 was 800.629 billion yuan, which was rolled over to result in a year-end balance of 8.602164 trillion yuan.

2018年末，中央财政国债余额149607.42亿元，控制在全国人大批准的债务余额限额156908.35亿元以内；地方政府债务余额183861.52亿元，包括一般债务余额109938.75亿元、专项债务余额73922.77亿元，控制在全国人大批准的债务余额限额209974.3亿元以内。

At the end of 2018, outstanding central government debt stood at 14.960742 trillion yuan, well within the budgeted limit of 15.690835 trillion yuan approved by the NPC. Total outstanding local government debt was 18.386152 trillion yuan, which included 10.993875 trillion yuan of general debt and 7.392277 trillion yuan of special debt, and fell within the NPC-approved budget limit of 20.99743 trillion yuan.

预算执行中，按照深化党和国家机构改革统一部署，及时安排新组建部门所需开办及筹建经费，认真做好相关部门预算划转等工作，确保部门正常运转和履职需要，保障党和国家机构改革顺利实施。所有中央部门预算批复工作在法定时限内完成。

During the course of implementing the budgets, in accordance with the unified arrangement for deepening reform of Party and state institutions, we promptly allocated the necessary funds for newly set up departments and made appropriate budget transfers between relevant departments. These efforts ensured that those departments were able to operate normally in the performance of their duties, and that the reforms could progress smoothly. We examined and approved all the budgets of central government departments within the statutory time frame.

以上预算执行的具体情况及相关说明详见《中华人民共和国2018年全国预算执行情况2019年全国预算（草案）》。

For a more detailed account of the budget execution in regard to the above items, please refer to the Chinese language version of the Report on the Execution of the 2018 Budgets of the People's Republic of China and the 2019 Draft Budgets.

（五）2018年主要财税政策落实和重点财政工作情况。

5. Implementation of main fiscal and tax policies and other major fiscal work in 2018

2018年，财政部门认真贯彻党中央、国务院决策部署，按照预算法和《关于人大预算审查监督重点向支出预算和政策拓展的指导意见》，落实全国人大预算决议要求，聚力增效实施积极的财政政策，加大对三大攻坚战的支持，更多向创新驱动、“三农”、民生等领域倾斜，深化财税体制改革，狠抓预算执行管理。

In 2018, finance departments conscientiously implemented the policy decisions and plans of the CPC Central Committee and the State Council, followed the Budget Law and the Guidelines on People's Congresses Expanding the Focus of Their Budget Review and Oversight to Cover Expenditure Budgets and Policies, and acted on the requirements in the budget resolution adopted at the NPC. We have enforced a proactive fiscal policy with the focus on concentrating fiscal strength and boosting fiscal efficacy, increased support for the three critical battles against potential risk, poverty, and pollution, weighted spending toward innovation-driven development, agriculture, rural areas, rural residents, and the improvement of living standards, deepened reform of the fiscal and tax systems, and worked vigorously to improve management of budget execution.

大力实施减税降费。完善增值税制度。降低制造业、交通运输、建筑、基础电信服务等行业及农产品等货物的增值税税率，统一增值税小规模纳税人标准至500万元，对装备制造等先进制造业、研发等现代服务业符合条件企业和电网企业的期末留抵税额予以一次性退还。实施个人所得税改革。修改个人所得税法，自2018年10月1日起，提高基本减除费用标准，调整优化税率结构，在此基础上研究制定个人所得税专项附加扣除暂行办法，设立子女教育等6项专项附加扣除，修订个人所得税法实施条例，自2019年1月1日起正式实施，实现从分类税制向综合与分类相结合税制的重大转变，惠及约8000万纳税人。加大小微企业税收支持力度。将享受减半征收企业所得税优惠政策的小型微利企业年应纳税所得额上限由50万元提高到100万元，将符合条件的小微企业和个体工商户贷款利息收入免征增值税单户授信额度上限由100万元提高到1000万元。鼓励企业加大研发投入。取消企业委托境外研发费用不得加计扣除限制，将企业研发费用加计扣除比例提高到75%的政策由科技型中小企业扩大至所有企业，将高新技术企业和科技型中小企业的亏损结转年限由5年延长至10年，对企业新购进单位价值不超过500万元的设备、器具允许当年一次性税前扣除。调整完善进出口税收政策。分两批对4000多项产品提高出口退税率并简化退税率结构。对包括抗癌药在内的绝大多数进口药品实施零关税，降低汽车整车及零部件、部分日用消费品和工业品进口关税，我国关税总水平由2017年的9.8%降至7.5%。进一步清理规范涉企收费。停征首次申领居民身份证工本费等一批行政事业性收费，降低重大水利工程建设基金等部分政府性基金征收标准，延长阶段性降低社会保险费率和企业住房公积金缴存比例政策期限。上述减税降费措施全年减负约1.3万亿元。

We took strong measures to cut taxes and fees.

Improving the VAT system

We lowered VAT rates in industries such as manufacturing, transportation, construction, and basic telecommunication services as well as for agricultural products and other goods, and adopted a unified annual sales threshold of 5 million yuan for small-scale VAT payers. The end-of-tax-period VAT credit was refunded in one lump sum to qualified enterprises in equipment manufacturing and other advanced manufacturing industries and in research and development (R&D) and other modern service industries, as well as to power grid enterprises.

Implementing individual income tax reform 

Implementing the revised Individual Income Tax Law, we raised the individual income tax threshold and optimized the structure of tax rates, starting from October 1, 2018. On this basis, we formulated the interim measures for special additional deductions for individual income tax, creating six special additional deduction items including children's education, and amended the implementation regulations for the Individual Income Tax Law, which officially went into effect on January 1, 2019. This represents a major shift from a system of classified taxes to a system of taxation that is based on both adjusted gross income and specific income types, benefiting approximately 80 million taxpayers. 

Increasing tax support for small and micro businesses 

More low-profit small businesses now enjoy halved corporate income tax, with the upper limit of taxable annual income raised from 500,000 yuan to 1,000,000 yuan. We raised the single-client credit line on which the interest income is eligible for VAT exemption from 1 million yuan to 10 million yuan in loans made to qualified small and micro businesses and self-employed people.

Encouraging enterprises to increase investment in research and development 

We abolished the restrictions on additional tax deductions for R&D costs for those enterprises who entrust their R&D work to overseas contractors. The policy of additional tax deductions for 75% of R&D expenses for small and medium sci-tech enterprises was extended to cover all enterprises. The period for rollover of losses was extended from 5 years to 10 years for new- and high-tech enterprises and small and medium sci-tech enterprises. A one-off tax deduction in the year of purchase will be offered to enterprises for new instrument or equipment purchases of less than 5 million yuan in unit price. 

Adjusting and improving import and export tax policies 

Export rebate rates were raised for over 4,000 products in two batches and the rebate rate structure was simplified. We accorded zero tariff treatment to the vast majority of imported medicine including anticancer drugs, and lowered import tariffs for whole vehicles and auto parts, as well as for some non-durable consumer goods and manufactured goods. China's overall tariff level has been lowered from 9.8% in 2017 to 7.5% in 2018. 

Taking further steps to tidy up regulations for the levying of charges on enterprises 

A number of administrative charges were abolished, including the processing fee paid by first-time applicants for citizen identity cards. We lowered the required payments to some government-managed funds such as the major water conservancy projects fund. Further, we extended the validity period of the policies of temporarily reducing social insurance premiums and lowering the proportion that enterprises contribute to the housing provident fund. These efforts to reduce taxes and fees led to a relief of burdens by around 1.3 trillion yuan over the year.

推动三大攻坚战取得明显成效。加强地方政府债务风险防控。落实地方政府债务限额管理和预算管理，地方政府存量债务置换基本完成。支持地方做好专项债券发行和使用，提前两个月完成1.35万亿元的发行目标，完善管理措施，严控法定限额内专项债务风险。出台地方政府债务信息公开办法，指导地方有序公开债务限额余额、债券发行和资金使用安排、债务还本付息等信息。进一步完善地方政府隐性债务风险监管政策，加强资金供给端、项目建设源头风险防控。强化监督问责，配合建立终身问责、倒查责任机制，组织核查部分市县和金融机构违法违规举债行为，并公开通报曝光。健全统计监测机制，及时警示债务风险。督促地方落实属地管理责任，牢牢守住不发生系统性风险的底线。大力支持脱贫攻坚。中央财政补助地方专项扶贫资金1060.95亿元，增加200亿元，增长23.2%，增加的资金重点用于“三区三州”等深度贫困地区。全面推进贫困县涉农资金整合试点，全年整合资金超过3000亿元。严控扶贫领域融资风险，将易地扶贫搬迁贷款融资等统一调整规范为发行地方政府债券融资。探索建立财政扶贫资金动态监控机制，加强各级各类财政扶贫资金管理。制定财政扶贫项目资金绩效管理办法，绩效目标管理基本实现全覆盖，涉及约11万个扶贫项目、8000多亿元。全年减少农村贫困人口1386万。加大污染防治力度。中央财政支持污染防治攻坚战相关资金约2555亿元，增长13.9%，其中大气、水、土壤污染防治投入力度为近年来最大。扩大中央财政支持北方地区冬季清洁取暖试点范围。实施促进长江经济带生态保护修复奖励政策，建立长江流域重点水域禁捕补偿制度。启动城市黑臭水体治理示范，支持中西部地区城镇污水处理提质增效。将宁夏贺兰山东麓、贵州乌蒙山区等14个项目纳入第三批山水林田湖草生态保护修复工程试点，加上前两批11个试点项目，基本涵盖了“两屏三带”的生态功能区块。

We achieved significant success in the three critical battles.

Strengthening prevention and control of local government debt risk 

Actions were taken to impose ceilings on local government debt and incorporate them into budget management, and the work on issuing local government bonds to replace outstanding debt was basically completed. We supported the issuance and use of special bonds by local governments and attained the goal of issuing 1.35 trillion yuan of special bonds two months ahead of schedule. We have improved management measures to put under strict control the risks related to special bonds within the statutory debt ceilings. We rolled out measures for the disclosure of local government debt information and guided local governments in the orderly release of information regarding the remaining balance of debt ceilings, bond issuance and arrangements for fund usage, and repayment of principal and interests. We further refined oversight and regulatory policies for hidden debt-related risks facing local governments, and further strengthened risk prevention and control at the supply end of funds and at the source of project construction. Intensifying oversight and accountability and setting up mechanisms for lifelong accountability and the retroactive investigation of liability, we organized investigations into illegal and regulation-breaking borrowing by some cities, counties, and financial institutions, publicly exposing those cases. We improved the statistical and monitoring mechanisms and gave timely warnings about debt risk, and we urged local governments to perform their due responsibilities within their geographical jurisdiction and succeeded in forestalling systemic risks. 

Providing strong support in the fight against poverty 

The central government allocated 106.095 billion yuan to subsidize local poverty alleviation funds, an increase of 20 billion yuan, or 23.2%, over 2017. The increase in funds was mainly directed to areas of extreme poverty such as the three regions and the three prefectures. We advanced trials across the country to integrate different rural development funds in poverty-stricken counties with merged funds surpassing 300 billion yuan for the year. We strictly controlled financing risks related to poverty alleviation, and replaced loans used to relocate people from inhospitable areas and other financing forms with a unified form of financing through issuance of local government bonds. We explored the establishment of mechanisms for dynamic monitoring of budgetary funds for poverty alleviation and strengthened management of government poverty alleviation funds of all kinds and at all levels. We formulated measures for performance-based management of budgetary funds in poverty alleviation projects, and basically achieved full coverage of performance targets, involving around 110,000 projects with an amount of over 800 billion yuan. A total of 13.86 million rural people were lifted out of poverty over the year. 

Intensifying pollution prevention and control efforts 

Around 255.5 billion yuan was allocated from the central budget to support the critical battle against pollution; this was a year-on-year increase of 13.9% and it included the largest investment toward addressing air, water, and soil pollution in recent years. We expanded the range of central government-financed trials to promote clean energy sources for winter heating across northern China, put in place incentivizing policies for the protection and restoration of ecosystems along the Yangtze Economic Belt, and established a compensation system for fishing bans in key waters of the Yangtze River basin. We launched models for treatment of black, malodorous water bodies in urban areas, and supported the enhancement of quality and efficacy in urban sewage treatment in the central and western regions. We entered 14 trial projects, including those at the eastern foot of the Helan Mountains in Ningxia and in the Wumeng mountainous areas in Guizhou, into the third group of pilot projects under the initiative to protect and restore mountain, water, forest, farmland, lake, and grassland ecosystems. Together with the previous two groups of 11 trial projects, these projects basically cover the key zones of the two ecological shields and three ecological belts.

支持深化供给侧结构性改革。推进科技创新能力建设。中央一般公共预算本级科学技术支出增长10.3%。支持实施国家科技重大专项，并选取部分专项探索开展基于诚信和绩效的“绿色通道”试点。开展中央财政科研项目资金管理改革督察，在优化科研项目和经费管理、减少报表和过程检查、推进科研项目绩效评价等方面推出一系列新举措。鼓励香港、澳门特别行政区高等院校和科研机构参与中央财政科技计划（专项、基金等）组织实施。支持制造业转型升级。推动智能制造、工业强基、绿色制造和工业互联网发展，支持制造业创新中心加强能力建设。落实首台（套）重大技术装备保险补偿试点政策，累计支持推广1087个项目，涉及装备价值总额1500多亿元。激发创业创新活力。支持100个国家级、省级实体经济开发区打造特色载体，助推中小企业“双创”升级。设立国家融资担保基金，提升服务小微企业和“三农”等的能力。对扩大小微企业融资担保业务规模、降低小微企业融资担保费率成效明显的地方予以奖补激励。落实“三去一降一补”重点任务。出台推进去产能和“僵尸企业”债务重组相关政策，继续支持钢铁、煤炭行业化解过剩产能，中央企业处置“僵尸企业”和治理特困企业工作取得积极进展。加大重点领域补短板力度，发挥中央基建投资作用。规范有序推进政府和社会资本合作（PPP），截至2018年末，全国PPP综合信息平台项目管理库累计落地项目4691个、投资额7.2万亿元，落地率54.2%。促进城乡区域协调发展。中央财政均衡性转移支付增长9.2%，老少边穷地区转移支付增长15.7%，不断加大对中西部地区的支持力度。构建雄安新区规划建设起步阶段财政支持政策体系，研究对海南全面深化改革开放等重大区域战略财政支持政策。建立健全实施乡村振兴战略财政投入保障制度。建立跨省域补充耕地国家统筹机制和城乡建设用地增减挂钩节余指标跨省域调剂机制。加快消化粮食库存，完善稻谷等粮食价格形成机制，全面推进优质粮食工程建设，支持深化农业供给侧结构性改革。

We supported the deepening of supply-side structural reform.

Promoting capacity building for scientific and technological innovations

The central general public budget saw a 10.3% increase in expenditure on science and technology. We supported the implementation of major national science and technology programs and conducted trials on selected programs of a "green channel" based on integrity and performance. We supervised management reform of the funding for central government-funded scientific and technological research projects, launching a series of new measures to optimize project and economic management, reduce report forms and process reviews, and promote performance evaluation. We encouraged institutions of higher learning and research institutes in the Hong Kong and Macao special administrative regions to take part in the organization and implementation of central government-funded science and technology programs (projects and funds). 

Supporting the transformation and upgrading of the manufacturing sector 

We promoted the development of smart manufacturing, strong foundations for industry development, green manufacturing, and the industrial internet, and supported manufacturing innovation centers in improving their capacities. We implemented the policy on piloting insurance compensation for newly-developed major technological equipment, supporting and promoting a total of 1,087 projects with over 150 billion yuan worth of equipment. 

Stimulating the drive for innovation and entrepreneurship 

We supported 100 real-economy development zones at national and provincial levels in developing platforms with distinctive features and we facilitated the efforts of small and medium-sized enterprises to upgrade the national initiative to promote business startups and innovation. We set up a national financing guaranty fund to enhance our capacity to serve small and micro businesses and serve agriculture, rural areas, and rural residents. We provided rewards and subsidies to regions that achieved clear results in expanding the scale of financing guaranties and reducing guaranty fees for small and micro businesses. 

Carrying out the five priority tasks 

We introduced policies on further cutting overcapacity and restructuring the debts of "zombie enterprises," and continued to support the de-escalation of overcapacity in the steel and coal industries. Active progress was made in the central government's efforts to address "zombie enterprises" and improve those enterprises in particular difficulty. We redoubled efforts to strengthen key areas of weakness, fully exerting central government investment in infrastructure. 

We regulated and promoted the application of the public-private partnership (PPP) model in an orderly fashion. By the end of 2018, of all the projects in the database of the national information platform for multiple PPP models, 4,691 were in progress, involving an aggregate investment of 7.2 trillion yuan, and accounting for 54.2% of the total. 

Promoting coordinated development between regions and between urban and rural areas 

To consistently strengthen support for central and western regions, the central government increased transfer payments to help equalize access to basic public services by 9.2%, and increased payments for old revolutionary base areas, areas with large ethnic minority populations, border areas, and poor areas by 15.7%. We set up a policy system for financial support to Xiongan New Area in its initial stage of planning and construction, and conducted studies on fiscal policies to support major regional strategies such as comprehensively deepening reform and opening up in Hainan Province. We established and implemented sound mechanisms for guaranteeing government funding for the implementation of the rural revitalization strategy. We put in place mechanisms for national coordination of newly-added cropland and for inter-provincial adjustment of quotas produced by linking newly-added cropland quotas with the amount of land used for construction. We accelerated our efforts to reduce excess stockpiles of grain, refined price-setting mechanisms for rice and other types of grain, promoted development of the quality grain project in all its aspects, and supported the deepening of supply-side structural reform in agriculture.

社会民生持续改善。实施更加积极的就业政策。落实就业创业补贴政策，加强公共就业服务能力建设，中央财政就业补助资金支出468.78亿元，增长6.8%，全年城镇新增就业1361万人。推动教育改革发展。中央财政教育转移支付的84.4%投向中西部地区，并向贫困地区倾斜。全国约1.45亿义务教育学生免除学杂费并获得免费教科书，1392万家庭经济困难寄宿生获得生活费补助，1400万进城务工农民工随迁子女实现相关教育经费可携带，3700万学生享受营养膳食补助。支持学前教育、普通高中、职业教育、高等教育发展。加强基本民生保障。机关事业单位和企业退休人员基本养老金标准提高约5%。城乡居民基本养老保险基础养老金最低标准提高至88元，并建立了基本养老保险待遇确定和基础养老金正常调整机制。划转部分国有资本充实社保基金，5户中央企业和浙江、云南两省的划转试点工作基本完成，19户中央企业的划转工作正在推进中，推动建立国有资本划转和企业职工基本养老保险基金缺口逐步弥补相结合的运行机制。城乡居民医保财政补助标准提高到每人每年490元，增加的40元中一半用于加强大病保险保障能力。基本公共卫生服务经费人均财政补助标准达到55元。支持做好最低生活保障、特困人员救助供养等困难群众救助工作。提高优抚对象等人员抚恤和生活补助标准，惠及全国860余万优抚对象。继续支持各类棚户区改造、公租房配套基础设施建设等，全年棚户区改造开工626万套、农村危房改造190万户。深入实施文化惠民工程，支持5万余所公共文化设施免费开放。

People's lives continued to improve. 

Implementing a more proactive employment policy 

We implemented policies on subsidies for employment and business start-ups, and strengthened capacity building for providing better public employment services. The central budget's employment subsidies totaled 46.878 billion yuan, a rise of 6.8%; a total of 13.61 million new urban jobs were created over the year. 

Promoting reform and development in education 

A total of 84.4% of the central budget's transfer payments for education went to the central and western regions, and were weighted especially toward poor areas. This has resulted in exemption of all tuition and miscellaneous fees and free textbooks for around 145 million students in compulsory education around the country, living allowances for 13.92 million boarding students from financially disadvantaged families, 14 million children living with migrant worker parents in cities being able to have their fiscal outlays for education transferred along with them, and 37 million students receiving subsidies for nutritious meals. Funding support was also provided for the development of preschool education, regular senior high schools, vocational education, and higher education. 

Ensuring the basic wellbeing of the people 

Basic pension payments for retirees of enterprises, Party and government offices, and public institutions were raised by around 5%. The minimum basic pension benefits for rural and non-working urban residents under the basic aged-care insurance scheme were raised to 88 yuan per person per month, and mechanisms were established to set standards on and regularly adjust basic aged-care insurance benefits. Work was carried out to transfer a portion of state capital to top up social security funds; this work was basically completed on a trial basis in five central government enterprises and in Zhejiang and Yunnan provinces, and is ongoing in 19 central government enterprises. This has promoted the establishment of an operating mechanism for combining transferring a portion of state capital with efforts to gradually make up for shortfalls in enterprise employees' basic aged-care pension funds. The government subsidy for basic medical insurance for rural and non-working urban residents was raised to 490 yuan per person per annum, with half of the 40-yuan increase being allocated to the serious disease insurance scheme. Annual per person government subsidies for basic public health services were raised to 55 yuan. 

We supported the provision of subsistence allowances and of assistance and aid to people living in extreme poverty or facing financial difficulties. Subsidies and living allowances were increased for entitled groups, benefiting over 8.6 million people around the country. We continued to provide support for the rebuilding of housing in run-down urban areas and for the development of supporting infrastructure for public rental housing, funding the rebuilding of 6.26 million housing units in run-down urban areas and 1.9 million dilapidated rural houses. We deepened our efforts to bring cultural benefits to the people, subsidizing over 50,000 public cultural facilities to keep them free and open to the public.

财税改革向纵深推进。加快财政体制改革。出台基本公共服务领域中央与地方共同财政事权和支出责任划分改革方案，以及医疗卫生领域财政事权和支出责任划分改革方案。教育、科技、交通运输等领域财政事权和支出责任划分改革正在积极推进。深化预算管理制度改革。深入贯彻落实《中共中央　国务院关于全面实施预算绩效管理的意见》，在中央财政层面初步建立了项目支出为主的全过程预算绩效管理体系，中央本级项目和对地方专项转移支付绩效目标、运行监控和绩效自评实现全覆盖，建立重点绩效评价常态化机制，2018年组织第三方机构对38个重点民生政策和重大项目开展重点绩效评价，涉及资金5513亿元，评价结果已经用于改进管理、预算安排和完善政策。中央预算决算公开内容更加细化，省市县级政府和部门预算决算公开深入推进。政府财务报告编制试点范围进一步扩大。完善税收制度。结合减税降费，初步建立综合与分类相结合的个人所得税制，改革完善增值税制度。加快税收立法进程，环境保护税法、船舶吨税法、烟叶税法顺利实施，耕地占用税法、车辆购置税法经全国人大常委会审议通过，资源税法按程序提请全国人大常委会初次审议。深化国资国企改革。首次向全国人大常委会作了全口径国有资产管理情况综合报告和金融企业国有资产专项报告。推动出台国有资本投资、运营公司改革试点的实施意见，推进中央党政机关和事业单位经营性国有资产集中统一监管试点的实施意见，以及完善国有金融资本管理的指导意见，扎实有序落实相关重点工作。剥离国有企业办社会职能和解决历史遗留问题取得重要进展。

We intensified fiscal and tax reforms.

Accelerating reform of the fiscal system

We released reform plans on defining the respective fiscal powers and expenditure responsibilities of central and local governments for basic public services and for the medical and healthcare sector. Looking forward, we are actively advancing these reforms in fields like education, science and technology, and transportation. 

Deepening reform of the budget management system

We implemented the CPC Central Committee and the State Council's Guidelines on Implementing Comprehensive Performance-Based Budget Management, and established an initial management system of this kind for project outlays of the central budget, covering the whole budget process from performance targets to execution oversight and performance self-evaluation for all central government projects and special transfer payments to local governments. We also put in place a mechanism to ensure the regular performance evaluation of key budgets, and during 2018 organized performance evaluations by third-party organizations on 38 key policies regarding public wellbeing and major projects, involving a total of 551.3 billion yuan; the evaluation results have been used to improve management, budget arrangement, and relevant polices. Central government budgets and final accounts were released in more detail, and further progress has been made in advancing the disclosure of budgets and final accounts of local governments and their departments at the provincial, city, and county levels. The trial preparation of government financial statements was expanded.

Improving the tax system 

Amid tax and fee cuts, we took initial steps to establish an individual income tax system based on both adjusted gross income and specific types of income, and reformed and improved the VAT system. We pressed for tax legislation, for the smooth implementation of the Environmental Protection Tax Law, Vessel Tonnage Tax Law, and Tobacco Leaf Tax Law, for the deliberation and adoption by the NPC Standing Committee of the Tax Law on Farmland Used for Non-agricultural Purposes and the Vehicle Purchase Tax Law, and for the submission as per procedure of the Resource Tax Law to the NPC Standing Committee for its first reading. 

Deepening the reform of state capital and SOEs

For the first time, we presented to the NPC Standing Committee a comprehensive report on the management of all state-owned assets and a specific report on state-owned assets in financial enterprises. We drove forward the issuance of guidelines on piloting reforms in state capital investment and management companies, on piloting unified oversight and supervision over state-owned productive assets of central Party and government offices and public institutions, and on improving the management of state-owned financial capital, and we made steady and solid progress in ensuring their implementation. We made major progress in relieving SOEs of their obligations to operate social programs and in resolving their other longstanding issues.

财政管理水平继续提高。强化管理基础工作。多措并举加快预算执行进度，完善对地方转移支付资金调度，支持地方做好保工资、保运转、保基本民生，以及农民工工资支付、清理拖欠民营企业账款等工作。加快推进预算执行动态监控工作，36个省本级、绝大多数市县都已建立预算执行动态监控机制。构建网上报销公务平台，实现公务人员出差报销全流程电子化管理。加强地方暂付款管理。清理整顿地方财政专户工作基本完成。政府会计准则制度体系基本建成，行政事业单位内部控制规范体系进一步健全。严肃财经纪律。围绕落实重大财税政策加大财政监督检查力度，对地方政府债务管理、财政支持脱贫攻坚、污染防治资金使用、经济开发区税收优惠政策执行等情况进行核查检查。加强会计、政府采购代理机构监管，严肃处理违法违规行为。认真整改审计发现问题。高度重视审计指出的具有指定用途的转移支付占比较高、预算绩效评价覆盖面小等问题，落实整改责任，细化整改措施，扎实推进整改，同时认真研究采纳审计建议，注重举一反三，从体制机制上巩固整改成果。

We continued to improve fiscal management.

Strengthening basic work on fiscal management

Through a combination of measures, we accelerated the pace of budget execution, and improved the preparation and allocation of funds for transfer payments to local governments. In addition to this, we supported local governments in their efforts to ensure payment of salaries, normal operations, and the basic wellbeing of the people, to ensure that rural migrant workers get paid, and to clear up overdue payments to private enterprises. Work on conducting dynamic monitoring of budget execution was accelerated, and mechanisms for the dynamic monitoring of budget execution were established in 36 provincial-level budget institutions and in most city- and county-level governments. We built an online platform to enable online reimbursement of official travel expenses. We strengthened control over suspense payments of local governments, and basically completed the work of reviewing and overhauling local governments' special accounts. A basic system of governmental accounting principles and institutions was established, and internal control standards and systems for administrative agencies and public institutions were improved.

Tightening up financial discipline

We stepped up oversight and compliance checks around the implementation of major fiscal and tax policies, and inspected local governments' debt management, their financial support for poverty alleviation, their use of funds for pollution prevention and control, and their implementation of preferential tax policies for economic development zones. We strengthened oversight of governmental accounting and government procurement agencies and strictly dealt with violations of laws and regulations.

Conscientiously rectifying problems uncovered in auditing 

We put strong emphasis on rectifying problems discovered through the auditing process such as the proportion of transfer payments for specific purposes being too high and the coverage of performance-based budget evaluation being too narrow, determined responsibility for correction, produced detailed rectification measures, and made steady progress in resolving the issues. At the same time, we earnestly studied and adopted suggestions from auditing bodies and, with a focus on applying lessons learned from experience, established institutions and mechanisms for solid corrective results.

总的看，2018年预算执行情况较好，财政改革发展工作取得新进展，有力促进了经济社会持续健康发展。这是以习近平同志为核心的党中央坚强领导的结果，是习近平新时代中国特色社会主义思想科学指引的结果，是全国人大、全国政协及代表委员们监督指导的结果，是各地区、各部门以及全国各族人民共同努力的结果。

Overall, budget execution in 2018 was satisfactory and we achieved new outcomes in the reform and development of public finance, which gave strong impetus to sustained and healthy economic and social development. We owe these achievements to the firm leadership of the Party Central Committee with Comrade Xi Jinping at its core; to the sound guidance of Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era; to the oversight of the NPC and the CPPCC National Committee together with their deputies and members; and to the concerted efforts of all regions, all departments, and the people of all our nation's ethnic groups.

同时，预算执行和财政工作中还面临一些问题和挑战。主要是：财政收入增长基础不稳，支出刚性不减，一些市县保工资、保运转、保基本民生支出压力大。预算编制的准确性和预算的约束力需要进一步增强；预算分配管理存在薄弱环节，内部控制需要进一步加强；有的地方和部门预算执行基础工作不扎实，支出进度较慢，造成财政资金闲置浪费。专项转移支付退出机制不完善，定期评估覆盖面较窄。政府性基金预算中有的项目执行慢、结转资金较多；国有资本经营预算范围还不完整；企业职工基本养老保险全国统筹仍未实现，医疗保险可持续筹资和待遇调整机制尚需完善, 社会保险基金财务可持续性面临挑战。有的地区脱离实际，存在超出自身财力过高承诺等问题，影响财政可持续性。有的地方仍违规担保或变相举债，防范化解债务风险任务艰巨。有的政策执行和落实不到位，企业和群众获得感不强。我们高度重视这些问题，将下大气力采取措施加以解决。

At the same time, we have yet to overcome the following main problems and challenges in budget execution and public finance work:

The foundation for revenue growth is fragile, while expenditures remain inflexible; some city- and county-level governments face serious budgetary constraints in ensuring payment of salaries, normal operations, and the basic wellbeing of people in their jurisdictions.

Accuracy in budget compilation still requires improvement and budgets are less binding than they should be; there are a number of weak links in budget allocation and management, and internal controls need to be further strengthened; and some local governments and departments fail to provide a solid foundation for budget execution, and their slow implementation leads to funds sitting idle.

Mechanisms for exit of special transfer payments need to be improved, and the coverage of periodic assessments is too narrow. 

The execution of some projects under government-managed fund budgets is too slow, leading to a large carry-over; budget compilation has yet to cover all state capital operations; and enterprise employees' basic aged-care pensions have not been placed under nationally coordinated management, mechanisms for ensuring sustainable funding and benefit adjustments for medical insurance schemes need improvement, and there are challenges in ensuring sustained financing for social security funds. 

Some local governments make promises beyond their financial capacity and in disregard of the actual situation, which harms their fiscal sustainability.

Some local governments are still guarantying debt or making borrowings in breach of regulations, making it hard to keep debt risk under control. 

Poor implementation of some policies is masking any sense of benefit that enterprises and the public would otherwise be feeling.

We attach the utmost importance to these problems and will adopt strong measures for their resolution.

二、2019年中央和地方预算草案

II. Draft Central and Local Budgets for 2019

2019年是新中国成立70周年，是全面建成小康社会、实现第一个百年奋斗目标的关键之年，做好预算编制和财政工作意义重大。要按照中央经济工作会议精神，认真编制2019年预算草案，科学研究提出财政收入、支出、转移支付、赤字及债务规模等安排，保障党中央、国务院重大决策部署的落实。

The year 2019 marks the 70th anniversary of the founding of the People's Republic of China, and represents a key year for completing the building of a moderately prosperous society in all respects and thus realizing the first Centenary Goal. With this in mind, we believe the compilation of this year's budgets and other public finance work is of major significance. In line with the guiding principles of the recent Central Economic Work Conference, we will draw up the draft budgets for 2019 and study and make appropriate arrangements for revenue, expenditures, transfer payments, deficit, and the scale of debt, thereby ensuring implementation of the major policy decisions and plans made by the Party Central Committee and the State Council.

（一）2019年财政收支形势分析。

1. Analysis on the prospects for fiscal revenue and expenditure in 2019

当前，我国发展仍处于并将长期处于重要战略机遇期，拥有足够的韧性、巨大的潜力和不断迸发的创新活力，经济长期向好趋势没有也不会改变。同时，经济发展面临的国际环境和国内条件都在发生深刻而复杂的变化，可以预料和难以预料的风险挑战更多更大，经济运行稳中有变、变中有忧。外部环境复杂严峻，贸易保护主义和单边主义加剧，世界经济增长动能正在减弱，不稳定不确定因素增多。国内深层次结构性矛盾和问题在外部冲击下趋于显性化，需求增长放缓，实体经济困难增多，市场信心和预期受到影响，推进供给侧结构性改革过程中不可避免会遇到一些困难和挑战。从财政收入形势看，受经济下行压力加大、实施更大规模减税降费，以及上年部分减税降费政策翘尾减收等因素影响，预计2019年财政收入增速将有所放缓。从财政支出形势看，各领域对财政资金需求很大，支持深化供给侧结构性改革、打好三大攻坚战、实施乡村振兴战略、加强科技创新和关键技术攻关、建设提升自然灾害防治能力若干工程、加大基本民生领域投入力度、支持外交国防、增强基层财政保障能力等，都需要予以重点保障。综合分析，2019年财政收入形势较为严峻，收支平衡压力较为突出，必须牢固树立底线思维，切实增强忧患意识，提高风险防控能力，平衡好稳增长和防风险的关系，进一步加强政策和资金统筹，在加大减税降费力度和着力保障重点支出的同时，保持财政可持续。

China is still in an important period of strategic opportunity for development and will remain so for a long time to come. It has ample resilience, enormous potential, and great creativity to unleash. Our economy's long-term positive momentum remains, and will continue to remain, unchanged. At the same time, profound and complex changes are taking place both in the international environment and in domestic conditions, and we are faced with more and greater risks and challenges, foreseeable and otherwise; as a result the stability of our economic performance has seen some changes, some of which have caused concern. Our economy faces a complex and severe external environment in which trade protectionism and unilateralism are mounting, the impetus for global economic growth is weakening, and factors of instability and uncertainty are increasing. Domestically, deep-seated structural problems and issues are becoming ever-more pronounced due to the impact of external events, the growth of demand is slowing down, the real economy is facing growing numbers of difficulties, and market confidence and expectations have all been affected. There are inevitably some difficulties and challenges in advancing supply-side structural reform.

In terms of fiscal revenue, the rate of growth in 2019 is projected to be slower due to mounting downward pressure on the economy, larger-scale tax and fee cuts, and the decline in government revenue as a result of the carryover effect of some tax and fee reduction policies. In terms of fiscal expenditure, the need for government funding across various fields is considerable, with priority assurance required in the areas of deepening supply-side structural reform, ensuring success in the three critical battles against potential risk, poverty, and pollution, implementing the rural revitalization strategy, promoting technological innovation and breakthroughs in key technologies, developing a number of projects for improving natural disaster prevention and control capabilities, increasing funding for areas related to people's basic wellbeing, supporting diplomacy and national defense, and strengthening public finance guarantees for primary-level government.

Taking all factors into account, fiscal revenue faces a grim situation in 2019 and there will be great pressure to keep the budget balanced. It is imperative that we firmly maintain worst-case scenario thinking, stay keenly aware of potential problems, enhance risk prevention and control capability, balance the needs for stabilizing growth and guarding against risks, continue to strengthen coordination in fiscal policy-making and use of government funds, and maintain fiscal sustainability while increasing tax and fee cuts and ensuring funding for key areas.

（二）2019年预算编制和财政工作的总体要求。

2. Overall requirements for the preparation of the 2019 budgets and public finance work

按照党中央、国务院决策部署，2019年要统筹推进稳增长、促改革、调结构、惠民生、防风险、保稳定工作，保持经济运行在合理区间，进一步稳就业、稳金融、稳外贸、稳外资、稳投资、稳预期。预算编制和财政工作的总体要求是：在以习近平同志为核心的党中央坚强领导下，以习近平新时代中国特色社会主义思想为指导，全面贯彻党的十九大和十九届二中、三中全会精神，统筹推进“五位一体”总体布局，协调推进“四个全面”战略布局，坚持稳中求进工作总基调，坚持新发展理念，坚持推动高质量发展，坚持以供给侧结构性改革为主线，坚持深化市场化改革、扩大高水平开放，加快建设现代化经济体系，继续打好三大攻坚战，着力激发微观主体活力，创新和完善宏观调控，统筹推进稳增长、促改革、调结构、惠民生、防风险、保稳定工作。积极的财政政策要加力提效，实施更大规模的减税降费，实质性降低增值税等税率；优化财政支出结构，树立过紧日子的思想，严格压缩一般性支出，加大对重点领域支持力度，提高资金配置效率，有效降低企业负担；加快建立现代财政制度，建立权责清晰、财力协调、区域均衡的中央和地方财政关系；全面实施预算绩效管理，加快建成全方位、全过程、全覆盖的预算绩效管理体系；加强地方政府债务管理，较大幅度增加地方政府专项债券规模，积极防范化解地方政府债务风险，促进经济持续健康发展和社会大局稳定，为全面建成小康社会收官打下决定性基础，以优异成绩庆祝中华人民共和国成立70周年。

In accordance with the Party Central Committee and the State Council's policy decisions and plans, in 2019 the government will coordinate all work to maintain stable growth, advance reform, make structural adjustments, improve living standards, guard against risks, and ensure stability, see that the economy operates within an appropriate range, and devote more efforts to ensure stability in employment, financial operations, foreign trade, foreign investment, domestic investment, and expectations.

To help achieve these goals, we need to act on the following overall requirements for the preparation of this year's budgets and public finance work:

Follow the strong leadership of the Party Central Committee with Comrade Xi Jinping at its core.

Follow the guidance of Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era.

Comprehensively follow all guiding principles from the Party's 19th National Congress, and the second and third plenary sessions of the 19th Party Central Committee.

Coordinate efforts to implement the five-sphere integrated plan and four-pronged comprehensive strategy.

Remain committed to the general principle of pursuing progress while ensuring stability, to the new development philosophy, and to high-quality development.

Continue to regard supply-side structural reform as our main task, deepen market-oriented reform and advance higher-level opening up, and accelerate the building of a modernized economy.

Continue to fight the three critical battles against potential risk, poverty, and pollution.

Focus on keeping micro-entities energized while developing and improving new ways of macro regulation.

Coordinate efforts to maintain stable growth, advance reform, make structural adjustments, improve living standards, guard against risks, and ensure stability.

Increase the intensity and effectiveness of our proactive fiscal policy, carry out tax and fee cuts on a larger scale, and ensure substantive VAT reductions.

Optimize the spending structure, tighten our belts, strictly reduce general expenditure, increase support for key areas, allocate funds more efficiently, and effectively lighten the burden on businesses.

Expedite the building of a modern public finance system, and establish a fiscal relationship between the central and local governments built upon clearly defined powers and responsibilities, appropriate financial resource allocation, and greater balance between regions.

Implement comprehensive performance-based budget management, and work faster to put in place a comprehensive system for such management that covers all sectors, projects, and budget types, as well as the whole budgetary process.

Strengthen local government debt management, considerably expand the scale of local government special purpose bonds, and take active steps to forestall and defuse local government debt risk.

Promote sustained and sound economic growth and overall social stability, lay a decisive foundation for completing the building of a moderately prosperous society in all respects, and celebrate the 70th anniversary of the founding of the People's Republic of China by achieving outstanding results.

按照上述要求，着重把握好五个方面：一是加大减税降费力度，促进实体经济发展。实施更大规模的减税和推进更明显的降费，普惠性减税和结构性减税并举，重点降低制造业和小微企业税收负担，降低制度性交易成本，改善营商环境。降低社保缴费率，稳定现行征缴方式。二是增加重点领域投入，提高支出精准度。落实党中央、国务院重大决策部署，突出财政支出的公共性、普惠性，继续调整优化支出结构，增强财政投入的精准度。重点增加对脱贫攻坚、“三农”、结构调整、科技创新、生态环保、民生等领域的投入，着力支持深化供给侧结构性改革、加强创新和技术攻关、实施乡村振兴战略、促进区域协调发展和军民融合发展。三是树立过紧日子的思想，严格控制一般性支出。为支持企业减负，各级政府要过紧日子，厉行勤俭节约，把钱花在刀刃上。大力压减一般性支出，严控“三公”经费预算，取消低效无效支出，清理收回长期沉淀资金。中央财政带头严格管理部门支出，一般性支出按照不低于5%的幅度压减，“三公”经费再压减3%左右。地方财政要比照中央做法，从严控制行政事业单位开支。四是深化财税体制改革，加快建立现代财政制度。按照有利于激发微观主体活力和调动地方积极性的要求，加强系统集成，注重统筹协调，扎实推进财政体制、预算管理制度、税收制度等方面的重点改革任务。五是开大地方规范举债前门，严堵违法违规举债后门。健全规范地方政府举债融资机制，妥善处置隐性债务存量，坚决遏制隐性债务增量，堵后门要更严，开前门要更大。较大幅度增加地方政府专项债券规模，支持重大在建项目建设和补短板，更好发挥专项债券对深化供给侧结构性改革、推进在建项目建设、化解隐性债务风险等一举多得的政策效应。

In line with these requirements, we will focus our work on five areas: 

First, stepping up tax and fee cuts and promoting development of the real economy. We will roll out tax cuts on a larger scale and push ahead with more visible fee reductions, adopt both general-benefit and structural tax cuts, focus on easing tax burdens in the manufacturing industry and on small and micro businesses, reduce government-imposed transaction costs, and improve the business environment. We will lower contribution rates for social insurance schemes, and keep the current method of payment for contributions stable. 

Second, increasing investment in key areas and making spending more targeted. In implementing the Party Central Committee and the State Council's major policies and plans, we will orient spending more toward the public good and universal benefit, continue to adjust and optimize the government spending structure, and make budgetary investment more targeted. We will focus on increasing the funding for poverty alleviation, the development of agriculture, rural areas, and rural residents, structural adjustment, scientific and technological innovation, ecological and environmental protection, and the improvement of living standards. Further, we will prioritize efforts to deepen supply-side structural reform, strengthen innovation and technological breakthroughs, implement the rural revitalization strategy, and promote coordinated regional development and military-civilian integration.

Third, keeping our belts tightened and strictly limiting general expenditures. To help ease burdens on businesses, governments at all levels must tighten their belts, practice thrift and spend money where it can be used most efficiently, make a major push to reduce general expenditure, strictly control budgeted spending on official overseas visits, official vehicles, and official hospitality, cancel inefficient or ineffectual expenditure, and review and recall funds that have been idle for a long period of time. The central finance authorities should lead the way in exercising strict management over departmental spending, cutting general expenditure by a margin of no less than 5% and further reducing spending on official overseas visits, official vehicles, and official hospitality by approximately 3%. Local finance authorities should follow this lead by strictly controlling the expenditure of administrative agencies and institutions.

Fourth, deepening reform of the fiscal and tax systems and accelerating the establishment of a modern public finance system. In accordance with the requirements to boost the vitality of micro-entities and mobilize the initiative of local governments, we will improve systems integration, pay close attention to overall planning and coordination, and solidly advance key reforms regarding the fiscal system, budget management system, and tax system. 

Fifth, opening wider the "front door" for local governments to raise funds in compliance with regulation, while barricading the "back door" of borrowing money via illegal and against-regulation methods. We will improve standard mechanisms for local governments to secure financing, properly address local governments' existing hidden debts, and resolutely contain the rise in hidden debt, opening more widely the "front door" while closing up the "back door" even more firmly. We will increase the scale of local government special purpose bonds by a fairly large margin to ensure adequate funding for ongoing projects and the strengthening of weak points. We will also better utilize these special bonds to have them serve multiple purposes such as deepening supply-side structural reform, advancing ongoing projects, and defusing hidden debt-related risks.

（三）2019年财政政策。

3. Fiscal policy for 2019

2019年积极的财政政策要加力提效，发挥好逆周期调节作用，增强调控的前瞻性、针对性和有效性，加强政策协调，推动经济高质量发展。

We will increase the intensity and effectiveness of our proactive fiscal policy in 2019. We will fully leverage counter-cyclic adjustments, make regulation more forward-looking, targeted, and effective, and strengthen policy coordination, to promote high-quality economic development.

“加力”体现在实施更大规模的减税降费和加大支出力度。实施减税降费方面。深化增值税改革，将制造业等行业现行16%的税率降至13%，将交通运输业、建筑业等行业现行10%的税率降至9%，确保主要行业税负明显降低；保持6%一档的税率不变，但通过采取对生产、生活性服务业增加税收抵扣等配套措施，确保所有行业税负只减不增，继续向推进税率三档并两档、税制简化方向迈进。抓好年初出台的小微企业普惠性减税政策落实。全面实施修改后的个人所得税法，落实好6项专项附加扣除政策。同时，明显降低企业社保缴费负担，从今年5月1日起，下调城镇职工基本养老保险单位缴费比例，各地可降至16%，继续执行阶段性降低失业和工伤保险费率政策，务必使企业特别是小微企业社保缴费负担有实质性下降。继续清理规范行政事业性收费。综合各项减税降费措施，全年减轻企业税收和社保缴费负担近2万亿元。为支持实施大规模减税降费，要想方设法筹集资金，中央财政将增加特定国有金融机构和央企上缴利润，地方财政也将主动挖潜，多渠道盘活各类资金和资产。加大支出力度方面。继续增加财政支出规模，安排全国财政赤字27600亿元，比2018年增加3800亿元，赤字率由2.6%适度提高到2.8%。同时，安排地方政府专项债券21500亿元，比2018年增加8000亿元。这样安排，与各方面支出需求相适应，释放了财政政策积极有力的信号，有利于更好引导企业预期和增强市场信心，也考虑为应对今后可能出现的风险隐患留出政策空间。

We will implement tax and fee cuts on a larger scale and increase spending. 

On cutting taxes and fees: We will deepen VAT reform, reducing the current rate of 16% in manufacturing and other industries to 13%, lowering the rate in the transportation, construction, and other industries from 10% to 9%, and ensuring that tax burdens in our main industries are meaningfully reduced. The lowest bracket rate will remain unchanged at 6%, but the adoption of supporting measures, like increased tax deductions for producer and consumer services, will guarantee that in all industries tax burdens only go down, not up. We will make continued efforts toward cutting the number of tax brackets from three to two and streamlining our tax system. We will ensure that the general-benefit tax cut policies issued at the start of the year for small and micro businesses are put into effect.

The revised Individual Income Tax Law will come into full effect, as will the policy on six special additional individual income tax deduction items. At the same time, we will significantly reduce enterprise contributions to social insurance schemes. Starting from May 1, 2019, we will lower the share borne by employers for urban workers' basic aged-care insurance, enabling all localities to reduce contributions to 16%. Further, we will continue polices on reducing in stages the premiums for unemployment insurance and workers' compensation insurance, to ensure substantial reductions in enterprise contributions to social insurance schemes, particularly for small and micro businesses. We will continue to review and standardize government administrative charges. The above measures will reduce the tax burdens and social insurance premium contributions of enterprises by nearly 2 trillion yuan. To support tax and fee cuts on a larger scale, we will find workable means of raising funds, the central finance authorities will increase profits turned in by certain state-owned financial institutions and enterprises directly under the central government, and local finance authorities should also tap into their potential to put all kinds of funds and assets to good use through multiple avenues. 

On increasing spending: We will further increase the scale of government expenditure. The government deficit for 2019 is projected to be 2.76 trillion yuan, an increase of 380 billion yuan over 2018, and the deficit-to-GDP ratio will rise moderately from 2.6% to 2.8%. At the same time, we plan to issue 2.15 trillion yuan worth of local government special bonds, an 800 billion yuan increase over 2018. These arrangements meet the demands of spending across various areas, send a signal of proactive and vigorous fiscal policy, help to better guide enterprise expectations, more strongly boost market confidence, and also take into consideration the importance of keeping policy options open in case there is a need to respond to risks in the future. 

“提效”体现在提高财政资金配置效率和使用效益。提高资金配置效率方面。着力调整优化支出结构，坚持有保有压，该保的支出保障好，该减的支出减下来，继续盘活财政存量资金，加大资金统筹力度，精准聚焦增强对国家经济社会发展大局的支撑能力。提高资金使用效益方面。以全面实施预算绩效管理为抓手，将预算绩效管理贯穿预算编制执行全过程，加快预算执行进度，做好预算绩效监控，及时纠正偏差，尽早发挥财政资金作用，更好推动政策落地见效。

We will increase the efficiency of allocating and using fiscal funds.

On fund allocation: We will work hard to adjust and optimize the spending structure, maintain expenditure in some areas while reducing it in others, ensure that all essential items receive sufficient funding while non-essential items are cut, continue to put idle funds to good use, strengthen unified management of funds, and focus on enhancing our capacity to support China's overall economic and social development.

On fund use: We will prioritize the implementation of comprehensive performance-based budget management and see that it permeates throughout the entire process of budget compilation and execution. Moreover, we will accelerate the pace of budget execution, strengthen oversight of budget performance, and promptly rectify errors, to ensure fiscal funds can play their part as soon as possible and fiscal policies are implemented and deliver results.

2019年主要收支政策：

The main revenue and expenditure policies for 2019 are as follows:

1．着力支持深化供给侧结构性改革。

1) Vigorously supporting efforts to deepen supply-side structural reform

坚持以供给侧结构性改革为主线不动摇，更多采取改革的办法，更多运用市场化、法治化手段，在“巩固、增强、提升、畅通”上下功夫。

Resolutely upholding supply-side structural reform as the main task, we will make greater use of reforms and means reliant on the market and the law to focus on consolidating, strengthening, upgrading, and ensuring unimpeded flows:

巩固“三去一降一补”成果。加大破、立、降力度，用好工业企业结构调整专项奖补资金，继续处置“僵尸企业”，推动更多产能过剩行业加快出清，做好产业结构调整中的民生托底工作。落实企业改制重组、去产能调结构等方面的税收优惠政策，促进企业优胜劣汰。继续支持剥离国有企业办社会职能和解决历史遗留问题。

We will consolidate the gains made in the five priority tasks. 

We will step up efforts to cut ineffective supply, foster new growth drivers, and reduce costs in the real economy. We will put to good use special funds for rewards and subsidies to encourage structural adjustments in industrial enterprises, continue to handle the issue of "zombie enterprises," promote faster clean-up in more industries with overcapacity, and ensure people's basic wellbeing during adjustments of the industrial structure. Preferential tax policies will be implemented regarding enterprises' restructuring and reorganization, cutting of overcapacity, and structural adjustments, to encourage competition among enterprises. We will continue to relieve SOEs of obligations to operate social programs and help them resolve other longstanding issues.

增强微观主体活力。大幅放宽可享受企业所得税优惠的小型微利企业标准并加大所得税优惠力度，将小规模纳税人增值税起征点由月销售额3万元提高到10万元，允许地方在50%税额幅度内减征资源税、城市维护建设税、房产税、城镇土地使用税、印花税（不含证券交易印花税）、耕地占用税和教育费附加、地方教育附加，扩展投资初创科技型企业享受税收优惠政策的范围。

We will strengthen the dynamism of micro entities.

We will greatly relax restrictions on low-profit small businesses eligible for corporate income tax relief and provide them greater tax preferences. The VAT threshold for small-scale taxpayers will be raised from 30,000 yuan to 100,000 yuan of sales per month. Local governments will be allowed to reduce resource tax, urban construction and maintenance tax, property tax, urban land-use tax, stamp duty (excluding stamp duty on securities transactions), tax on farmland used for nonagricultural purposes, education surcharges, and local education surcharges within a range of no more than 50% of the respective total tax amount. The range of preferential tax policies for investment in sci-tech start-ups will be expanded.

提升产业链水平。综合运用风险补偿、后补助等手段，引导企业加大科技投入，促进成果转化和产业化。再支持一批实体经济开发区打造不同类型的创新创业特色载体。发挥好国家中小企业发展基金、新兴产业创业投资引导基金作用，加大对早中期、初创期创新型企业的支持，培育更多新动能。落实好创业投资个人所得税优惠政策，开展适当提高居民企业技术转让所得免征企业所得税限额标准试点。

We will upgrade industrial chains.

We will use a variety of methods, including risk compensation and post-project subsidies, to guide enterprises in increasing their investment into R&D and to promote commercialization and industrial application of scientific and technological advances. We will support more real-economy development zones in developing different types of specialized platforms for innovation and business startups. We will make full use of the national fund for the development of small and medium-sized enterprises and the national seed fund for investing in emerging industries, and increase support for innovative enterprises which are still in the early or middle stages of development, so as to foster more drivers for growth. We will provide individual income tax incentives related to venture capital, and carry out trials of appropriately raising the corporate income tax-free threshold for resident enterprises on income derived from technology transfer.

畅通国民经济循环。综合运用融资增信、以奖代补、税收优惠等方式，鼓励金融机构加大对民营企业和中小企业的支持，缓解企业融资难融资贵问题。加快国家融资担保基金运作，对单户担保金额500－1000万元的，实行与500万元以下统一的收费政策，收费由原不高于承担风险责任的0.5%降为0.3%，引导合作机构逐步将平均担保费率降至1%以下。支持30个城市开展深化民营和小微企业金融服务综合改革试点，引导试点城市降低企业综合融资成本。对小微企业年化担保费率不超过2%的省份进行奖补。增强金融体系服务实体经济能力，推动形成金融和实体经济良性循环。

We will ensure unimpeded flows in the economy.

We will use a combination of methods such as credit enhancement, rewards in place of subsidies, and tax relief, to encourage financial institutions to increase support for private enterprises and small and medium businesses, and thus mitigate difficulties faced by the latter in accessing affordable financing. We will speed up the operation of the national financing guaranty fund, and adopt a unified fee policy mandating that cases involving a single-client guarantee amount of 5 to 10 million yuan are to be charged the same as those below 5 million yuan, with the fee rate reduced from no higher than 0.5% of the risk liability to 0.3%, and we will encourage cooperating institutions to gradually lower their average guarantee fee to below 1%. We will support 30 cities in piloting comprehensive reforms of financial services for private companies and small and micro businesses, and encourage them to reduce overall financing costs of enterprises. We will speed up the operation of the national financing guaranty fund. Rewards and subsidies will be given to provincial-level governments where the annual rate of guarantee fee for small and micro businesses is no more than 2%. We will strengthen the capacity of the financial system to serve the real economy, and promote the forming of a positive cycle between the financial sector and the real economy.

2．继续支持打好三大攻坚战。

2) Continuing support for the three critical battles

防范化解财政金融风险。坚持疏堵并举，有效防控地方政府隐性债务风险。新增地方政府债务限额30800亿元，其中一般债务9300亿元、专项债务21500亿元，为重点项目建设提供资金保障，也为防范化解地方政府隐性债务风险创造更好条件。继续发行地方政府债券置换符合政策规定的债务，全面完成存量债务置换。妥善处置隐性债务存量，督促高风险市县尽快压减隐性债务规模，降低债务风险水平。鼓励金融机构与融资平台公司协商采取市场化方式，通过合适期限的金融工具应对到期存量隐性债务风险，避免项目资金链断裂。推进融资平台公司市场化转型。坚决遏制隐性债务增量，加强风险监测分析，对违法违规举债融资行为，发现一起、问责一起、通报一起，终身问责、倒查责任。完善专项债券管理方式，推进实行限额规模全额管理，有关政府性基金预算必须首先用于到期专项债券还本付息，严格将专项债券与项目资产、收益相对应，依法落实偿债责任，确保专项债券不发生任何风险。

We will work to forestall and defuse fiscal and financial risks.

We will continue to use both channeling and blocking measures to effectively prevent and control risks related to local governments' hidden debt. The ceiling for newly-incurred local government debt is set at 3.08 trillion yuan, within which 930 billion yuan is general debt and 2.15 trillion yuan is special debt. This acts as a funding guarantee for major projects and also creates more favorable conditions for forestalling and defusing hidden debt-related risks of local governments. We will continue to issue local government bonds to replace those debts that meet policy regulations, and ensure full replacement of all outstanding debts. We will take prudent measures to address existing hidden debts, and urge high-risk cities and counties to reduce the scale of their hidden debts as rapidly as possible, so as to lower the level of debt risk. We will encourage financial institutions and financing platform companies to discuss and adopt market-based approaches and use financial instruments with appropriate maturity to address the hidden risks of existing maturing debts, with a view to avoiding breaks in the project funding chain. We will advance market-oriented transformation of financing platform companies. 

We will resolutely control hidden debt expansion, and strengthen risk monitoring and analysis. Any illegal or against-regulation debt financing will be dealt with immediately, those responsible held accountable, and the case reported to relevant authorities; we will enforce lifelong accountability and retroactive investigation of liability. We will improve the management of special bonds and implement a management model wherein the scale of bonds is strictly controlled and must not exceed the set ceiling; related government-managed funds set in the budget must first of all be used to repay the principal and interests of mature special bonds; special bonds must strictly correlate to project assets and profits; the responsibility for bond repayment must be clearly defined in accordance with the law. All of the above management measures will help ensure against the emergence of risk with regard to special bonds.

大力支持脱贫攻坚。坚持脱贫攻坚目标和现行扶贫标准，进一步强化财政投入保障，加大深度贫困地区和特殊贫困群体脱贫攻坚力度。中央财政专项扶贫资金安排1260.95亿元，增长18.9%，增量主要用于深度贫困地区。其他相关转移支付和债务限额分配也继续向贫困地区特别是深度贫困地区倾斜。重点支持解决好实现“两不愁三保障”面临的突出问题，深入实施产业、就业、教育、健康、社会保障、文化等扶贫。坚持扶贫同扶志扶智相结合，增强贫困地区、贫困群众内生动力和自我发展能力。继续推进贫困县涉农资金整合试点，落实省负总责要求，促进扶贫资金精准投放、精准使用。加快财政扶贫资金动态监控机制建设，实时动态监控各级各类财政扶贫资金，对扶贫项目资金实施全过程绩效管理。省市县扶贫资金分配结果一律公开，乡村两级扶贫项目安排和资金使用情况一律公告公示，坚决防止扶贫资金被挤占挪用。对摘帽县和脱贫人口的扶持政策保持一段时间，巩固脱贫成果。

We will firmly support the fight against poverty. 

Working toward the goal of poverty alleviation and adhering to the current poverty line, we will further guarantee funding and step up efforts to enable areas of extreme poverty and particular groups of people living in poverty to move out of their current situation. The central government will specially allocate 126.095 billion yuan to fund poverty alleviation, an increase of 18.9%, and these additional funds will be used mainly in areas of extreme poverty. Other related transfer payments and bond fund allocation will also continue to be channeled toward impoverished areas, especially those affected by extreme poverty. We will prioritize addressing the prominent issues of guaranteeing the basic needs of food and clothing for those living in poverty and ensuring that they have due access to compulsory education, medical care, and safe housing; we will step up efforts to alleviate poverty by developing local industries and boosting employment, education, healthcare, social security, and cultural activities. We will continue to invigorate people's confidence in their ability to eliminate poverty and help them develop the skills they need to do so, thereby strengthening the internal drive and capacity for self-development within those impoverished areas and groups living in poverty. 

We will continue to advance the trial integration of various funds for rural development in poor counties, ensure that provincial-level governments assume overall responsibility, and promote targeted investment and use of poverty alleviation funds. We will move faster to set up a mechanism for dynamic monitoring of government funds for poverty alleviation, place under real-time dynamic monitoring all types of budgetary funds for poverty alleviation at all levels, and carry out performance-based management of poverty alleviation project funds throughout the whole process of project implementation. Outcomes of the allocation of provincial, prefectural, and county-level poverty alleviation funds as well as information on township-level and village-level poverty alleviation projects and spending will all be released to the public. We will work resolutely to prevent any misappropriation of poverty alleviation funds. Support policies applying to counties and populations that have recently been lifted out of poverty will be maintained for a period to consolidate progress in poverty alleviation.

积极支持污染防治。聚焦打赢污染防治攻坚战七大标志性战役，加大投入力度。将打赢蓝天保卫战作为重中之重，中央财政大气污染防治资金安排250亿元，增长25%。继续支持做好北方地区冬季清洁取暖试点等工作。将消灭城市黑臭水体作为水污染治理的重点，水污染防治方面的资金安排300亿元，增长45.3%。支持全面落实土壤污染防治行动计划，加强土壤污染状况详查、污染土壤修复治理等，土壤污染防治资金安排50亿元，增长42.9%。加大长江经济带生态保护修复奖励政策力度，推动相关省份加快建立省际和省内横向生态保护补偿机制。推进山水林田湖草生态保护修复工程试点。支持大规模国土绿化行动，完善天然林保护制度，扩大退耕还林还草，加强森林资源培育管护，强化湿地保护和恢复，开展沙化土地封禁保护，继续实施草原生态保护补助奖励政策。重点生态功能区转移支付安排811亿元，增长12.5%，引导地方加强生态建设、建立以国家公园为主体的自然保护地体系等。

We will provide full support for pollution prevention and control.

We will focus on winning the seven key campaigns in pollution prevention and control, and greatly increase the scale of fiscal input. Top priority will be keeping our skies blue; the central government will allocate 25 billion yuan to prevent and control air pollution, an increase of 25%. Continued support will be provided for trials to promote clean winter heating in northern China. With efforts centering on the elimination of black, malodorous water bodies in our cities, we will allocate 30 billion yuan to prevent and control water pollution, a rise of 45.3% over last year. In full support of the action plan to prevent and control soil pollution, we will allocate 5 billion yuan, an increase of 42.9%, for strengthening detailed surveying of soil pollution and treatment and restoration of polluted land. We will strengthen reward policies for ecological conservation and restoration along the Yangtze Economic Belt, and help relevant provinces to establish trans-provincial and intra-provincial compensation mechanisms for ecological conservation. We will advance pilot projects under the initiative to protect and restore mountain, water, forest, farmland, lake, and grassland ecosystems. We will support large-scale afforestation, improve the system for protecting natural forests, expand the scope of work to turn marginal land back into forest or grassland, strengthen cultivation, management, and protection of forest resources, boost protection and restoration of wetlands, and support closing off desertified land for its protection. We will continue to implement reward and subsidy policies for grassland ecological conservation. We will allocate 81.1 billion yuan of transfer payments to key ecosystem service zones, an increase of 12.5%, which will help local governments to strengthen ecological conservation and develop a system of nature reserves composed mainly of national parks.

3．坚持创新引领发展。

3) Maintaining commitment to innovation-driven development

推动制造业高质量发展。发挥财政资金“四两拨千斤”的作用，引导资本、资源向战略关键领域聚焦，支持重大短板装备攻坚、重点产业创新服务平台等，推进战略关键领域创新突破。以制造业为重点实质性降低增值税税率，将制造业适用的税率由16%降至13%，逐步建立期末留抵退税制度，有效降低企业成本负担。将固定资产加速折旧优惠政策扩大至全部制造业领域。健全支持创新和绿色发展的政府采购政策，充分发挥首台（套）等政策功能，加大对制造业特别是重大装备和关键产品的支持力度。

We will promote high-quality development of the manufacturing industry. 

We will give full play to the leveraging role of government funds in guiding capital and resources toward key areas of strategic importance, to help shore up weaknesses in major equipment manufacturing and create new service platforms in key industries, and promote innovations and breakthroughs in key strategic areas. Focusing our tax reductions on the manufacturing industry, we will substantially lower VAT rates, reducing the rate applying to the manufacturing industry from 16% to 13%, and gradually establish a system to refund end-of-tax-period VAT credit, with the goal of effectively reducing enterprise costs. The preferential policy of accelerated depreciation of fixed assets will be extended to all sectors of manufacturing. We will improve the government procurement policy to support innovation and green development. We will fully exert the function of policies on newly-developed major technological equipment, and provide greater support to the manufacturing industry, particularly major equipment and key products.

提升科技支撑能力。突出问题导向和需求导向，积极支持基础研究和应用基础研究，加大对突破关键核心技术的支持。加强国家战略科技力量建设，推进国家实验室建设和科技创新基地布局优化，推动科研设施与仪器开放共享，实施国家科技重大专项和“科技创新2030－重大项目”。加大对科研院所稳定支持力度，加强科技人才队伍建设。狠抓中央财政科研项目资金管理改革等政策落地见效，开展基于绩效、诚信和能力的科研管理改革试点，形成更有效的创新激励机制。推动健全以企业为主体的产学研一体化创新机制，支持企业牵头实施重大科技项目。综合运用风险补偿、后补助、创投引导等手段，引导企业加大科技投入，促进成果转化和产业化。支持全面加强知识产权保护。

We will increase scientific and technological support for development. 

Adopting problem-oriented and demand-oriented approaches, we will provide full support for basic research including application-oriented basic research, and step up our support to achieve breakthroughs in core technologies for key fields. We will boost China's strategic scientific and technological strength, advance the building of national laboratories, optimize the layout of our science and technology innovation centers, promote the open sharing of scientific research facilities and equipment, and implement major national science and technology projects and the programs for the Sci-Tech Innovation 2030 Agenda. We will increase our steady support for research institutes, and step up human resources development in science and technology. We will redouble our efforts to ensure effective implementation of policies including reform of fund management for central government-funded science and technology initiatives, and begin piloting project management reform based on performance, integrity, and capacity, to form more effective incentive mechanisms for innovation. 

We will promote the establishment of an innovation mechanism, with enterprises as the main players, that integrates the efforts of enterprises, universities, and research institutes, and we will support enterprises in heading up major science and technology programs. We will use a combination of means including risk compensation, post-project subsidies, and venture capital guidance, to encourage enterprises to increase investments in science and technology and promote the commercialization and industrial application of advances in science and technology. We will support efforts to strengthen all-round protection of intellectual property rights.

4．促进形成强大国内市场。

4) Encouraging the formation of a strong domestic market

着力扩大居民消费。完善相关财税政策，支持社会力量提供教育、文化、体育、养老、医疗等服务供给，培育新的消费增长点。加快重点领域政府购买服务改革，扩大购买范围和规模，提升公共服务质量。坚持扶优扶强原则支持新能源汽车产业发展，继续对新能源汽车免征车辆购置税，调整完善购置补贴政策，鼓励加快充电基础设施建设和城市公交新能源车替代。推动建设现代供应链体系，改善物流基础设施。深入推进电子商务进农村综合示范，支持农产品进城和工业品下乡。

We will work hard to expand consumer spending. 

We will refine the related fiscal and tax policies to support non-governmental provision of services in education, culture, sports, elderly care, healthcare, and other sectors, and foster new areas of consumption growth. We will expedite the reform of government service procurement in key areas to expand the scope and scale of the procurement and upgrade the quality of public services. We will support the development of the new-energy vehicle industry by prioritizing assistance to enterprises with the greatest strength and advantages, continue to waive vehicle purchase tax for new-energy vehicles, adjust and improve policies on purchase subsidies, and encourage more rapid construction of charging facilities and use of new-energy vehicles for urban public transport. We will promote the establishment of a modern supply chain system and the improvement of logistics infrastructure. We will strongly advance comprehensive demonstrations for introducing e-commerce into rural areas to encourage the flow of agricultural products to urban areas and of industrial products to the countryside.

发挥投资关键作用。中央基建投资安排5776亿元，比2018年增加400亿元，优化投资方向和结构，强化绩效考核，重点用于“三农”建设、重大基础设施建设、创新驱动和结构调整、保障性安居工程、社会事业和社会治理、节能环保与生态建设等方面。加强交通、水利、能源、生态环保、农业农村等重点领域和薄弱环节建设，提升信息网络、现代物流等基础设施支撑能力。继续支持做好三峡库区后续工作。大力支持中央部门和地方实施提高自然灾害防治能力若干重点工程。推进川藏铁路规划建设。进一步规范推广运用PPP，着力提高民间资本参与度。

We will give full play to the key role of investment. 

The central government has earmarked 577.6 billion yuan for investment into infrastructure, an increase of 40 billion yuan over 2018. We will optimize the direction and structure of this investment, strengthen performance evaluation, and  use the funds mainly for areas including development of agriculture, rural areas, and rural residents, major infrastructure construction, innovation-driven development and structural adjustments, government subsidized housing projects, social programs and social governance, energy conservation, environmental protection, and ecological improvement. We will strengthen development in transportation, water conservancy, energy, ecological and environmental protection, agriculture and rural areas, and other key sectors and weak links, and increase the support capacity of infrastructure like information networks and modern logistics. We will continue to support follow-up work in the Three Gorges Reservoir region. We will strongly support central departments and local governments in carrying out major projects for natural disaster prevention and response. We will advance the planning and construction of the Sichuan-Tibet railway. We will take further steps to standardize and popularize the use of the PPP model and strive to expand the involvement of private capital.

更加有效发挥地方政府债券作用。根据十三届全国人大常委会第七次会议有关授权决定，国务院已提前下达2019年地方政府新增一般债务限额5800亿元、新增专项债务限额8100亿元，合计13900亿元，提前下达债务限额在授权范围内。合理扩大专项债券使用范围，科学合理安排专项债券地区结构和投向结构，加快债券发行进度，发债筹措资金优先用于在建项目，防止“半拉子”工程。允许先行调度财政库款加快专项债券对应的项目建设。

We will more effectively leverage the role of local government bonds.

In accordance with the relevant authorization decisions of the Seventh Session of the 13th NPC Standing Committee, the State Council has issued in advance a total ceiling amount of 1.39 trillion yuan for new local government debt in 2019, which is comprised of a 580 billion yuan limit for general bonds and an 810 billion yuan limit for special bonds. The issuance of debt ceilings prior to NPC approval is within the scope of authorization. We will appropriately expand the scope of use for special bonds, ensure sound and reasonable distribution among different regions and investment structures, quicken the pace of bond issuance, and give priority to financing on-going projects in the use of funds raised through the issuance of special bonds so as to prevent the occurrence of half-done projects. Furthermore, we will allow funds from the treasury to be allocated in advance to expedite projects that are to be funded by special bonds.

5．促进区域协调发展。

5) Promoting coordinated regional development

支持实施国家重大区域战略。以共建“一带一路”、京津冀协同发展、长江经济带发展、粤港澳大湾区建设、长江三角洲区域一体化发展等重大战略为引领，以西部、东北、中部、东部四大板块为基础，推动国家重大区域战略融合发展。西部地区企业所得税优惠政策到期后继续执行。继续积极支持雄安新区高标准建设、海南全面深化改革开放等国家重大区域战略实施。同时，支持实施海洋强国战略，发展海洋经济，促进海洋科技发展，保护海洋环境，加强海岛、海域、海岸带生态修复。

We will support the implementation of major national strategies for promoting regional development. 

Giving primary consideration to major strategies such as jointly pursuing the Belt and Road Initiative, the coordinated development of the Beijing-Tianjin-Hebei region, the development of the Yangtze Economic Belt and the Guangdong-Hong Kong-Macao Greater Bay Area, and the integrated development of the Yangtze River Delta, we will push for integrated development of major national strategies regarding regional growth, based on the development of the western, northeastern, central, and eastern regions of China. We will continue with the current policy on corporate income tax relief for the western region after its expiration. We will continue to provide firm support for high-standard development of the Xiongan New Area, for comprehensively deepening reform and opening up in Hainan Province, and for implementing other major national strategies for regional development. Meanwhile, we will offer support for implementation of the strategy to build China into a maritime power, development of the marine economy and marine science and technology, protection of the marine environment, and strengthening ecological restoration of islands, sea areas, and coastlines.

进一步提升区域间基本公共服务均等化水平。发挥转移支付作用，较大幅度增加中央对地方转移支付规模，并向中西部地区倾斜。中央财政均衡性转移支付安排15632亿元，增长10.9%。加大对革命老区、民族地区、边疆地区、贫困地区支持力度，老少边穷地区转移支付安排2489.05亿元，增长14.7%。县级基本财力保障机制奖补资金安排2709亿元，增长10%。安排民生政策托底保障财力补助400亿元，增强财政困难地区托底能力。支持资源枯竭城市转型发展。深入实施兴边富民行动。完善省以下财政体制，引导财力下沉，增强省以下政府基本公共服务保障能力。

We will further equalize access to basic public services among regions. 

In order to fully exert the role of transfer payments, we will arrange a considerable increase in the scale of transfer payments from central to local governments, and weight the increase toward the central and western regions. The central government will allocate 1.5632 trillion yuan of transfer payments to ensure equal access to basic public services, an increase of 10.9%. Transfer payments to old revolutionary base areas, areas with large ethnic minority populations, border areas, and impoverished areas will reach 248.905 billion yuan, a rise of 14.7%, to increase support for these areas. A total of 270.9 billion yuan in rewards and subsidies will be allocated for the mechanism to ensure county-level governments' basic funding, an increase of 10%. A total of 40 billion yuan in subsidies will be allocated to support policies for meeting people's basic needs, so as to help regions in financial difficulty better ensure basic public wellbeing. We will support the transformation and development of resource-depleted areas, and deepen efforts to boost development in the border regions to benefit the people living there. We will improve the fiscal system at and below the provincial level, guide the flow of financial resources toward lower levels of government, and strengthen the capacity of governments at and below the provincial level to guarantee the provision of basic public services.

健全区域互助和利益分享机制。发挥跨省域补充耕地国家统筹机制和城乡建设用地增减挂钩节余指标跨省域调剂机制作用，所得收益全部用于巩固脱贫攻坚成果和支持实施乡村振兴战略。东部地区根据财力增长情况逐步增加资金投入，深入实施东西部扶贫协作。深化全方位、精准对口支援，促进新疆、西藏和青海、四川、云南、甘肃四省藏区经济社会持续健康发展。

We will improve the system for mutual assistance and interest sharing between regions. 

We will fully leverage the mechanisms that allow for national coordination in offsetting farmland between provinces and for surplus quotas produced by linking newly-added cropland quotas with the amount of land used for construction to be adjusted inter-provincially, and all profit therefrom will be used to fight poverty and support rural revitalization. The eastern region will be encouraged to gradually increase investment in line with its growing finances as part of deep collaboration on poverty alleviation between the eastern and western regions. We will enhance the provision of targeted and all-around one-on-one assistance programs, and encourage sustained and sound economic and social development in Xinjiang and Tibet as well as in the four Tibetan ethnic areas in the provinces of Qinghai, Sichuan, Yunnan, and Gansu.

推进新型城镇化建设。中央财政安排农业转移人口市民化奖励资金300亿元，加大对吸纳农业转移人口地区的支持。进一步完善财政转移支付办法，合理分担农业转移人口市民化的成本，促进实现基本公共服务常住人口全覆盖。及时拨付海绵城市、城市地下综合管廊试点补助经费，支持地方提高城市建设质量。

We will advance the development of the new type of urbanization. 

A 30 billion yuan rewards fund will be put in place by the central government to support the process of granting urban residency to people with rural household registration living in urban areas. We will further improve transfer payment methods, ensure a reasonable sharing of costs in the residency-granting process, and ensure that basic public services are accessible to all permanent residents. We will provide timely subsidies to trial construction of "sponge cities" and urban underground utility tunnels, to support local governments in pursuing higher quality urban development.

6．贯彻实施乡村振兴战略。

6) Implementing the rural revitalization strategy

推动农业高质量发展。继续增加中央财政农业生产发展资金、农业资源及生态保护补助资金等。深入实施藏粮于地、藏粮于技战略，支持高标准农田、高效节水灌溉等农田水利建设，扩大耕地轮作休耕制度试点，加强农业科技改革创新，推广应用先进适用农业技术，提升农业综合产能。全面推进农作物秸秆综合利用工作。支持种质资源保护与利用，加快绿色新品种试验推广。推进长江流域重点水域禁捕补偿工作。扶持新型农业经营主体，实施新型职业农民培育工程，健全农业生产社会化服务体系。推进现代农业产业园创建和产业兴村强县行动，促进农村一二三产业深度融合。积极支持做好动物防疫工作。

We will promote the high-quality development of agriculture. 

The central government will continue to increase financial support for the development of agricultural production, and the subsidy fund for agricultural resources protection and ecological conservation. We will strongly implement the food crop production strategy based on farmland management and technological application, support the development of cropland and water conservancy projects such as high-standard farmland and efficient water-saving irrigation, expand trials in crop rotation and letting land lie fallow, step up reform and innovation in agricultural science and technology, broaden the application of advanced and appropriate agricultural technology, and increase overall agricultural production capacity. We will make all-around efforts to advance comprehensive use of straw from crops. We will support the protection and use of germplasm resources, and accelerate our efforts to experiment with and spread the application of new, eco-friendly varieties. We will move forward with the work on compensation for fishing bans in key waters of the Yangtze River basin. We will lend our support to new types of agribusiness, carry out programs to train new types of professional farmers, and build up the system of commercial services for agricultural production. We will advance the establishment of modern agriculture industrial parks and the initiatives to invigorate villages and strengthen counties through developing local industries, and encourage deeper integration of primary, secondary, and tertiary industries in rural areas. We will provide active support for animal epidemic prevention and control.

大力支持乡村建设。以农村垃圾污水处理、农业生产废弃物资源化利用、厕所革命、村容村貌提升等为重点，支持改善农村人居环境。推进农村电网升级改造，加强农村道路等基础设施建设和管护，全面提升乡村公共服务水平。加快实施农村饮水安全巩固提升工程。完善农村公益事业财政奖补机制，支持美丽乡村建设提档升级、村级集体经济发展等。强化农村基层组织保障能力建设。

We will provide strong support for rural development. 

We will support the improvement of rural living environments with our focus on garbage and sewage treatment, agricultural production waste recycling, the Toilet Revolution, and the improvement of village appearance. We will promote rural power grid upgrades, step up the building and maintenance of roads and other infrastructural facilities in rural areas, and raise the level of public services across the board. We will accelerate the implementation of programs to consolidate and build on progress already made in providing safe drinking water in rural areas. We will refine government reward and subsidy mechanisms for rural public works projects, and support efforts to bring the beautiful countryside initiative to the next level and the growth of collective village economies. We will strengthen the capacity of rural community-level organizations to provide guarantees for rural development.

深化农业农村改革。加快建立新型农业支持保护政策体系。深入推进以绿色生态为导向的农业补贴制度改革。加强涉农资金统筹整合。坚持市场化改革方向，调整完善最低收购价政策，稳定对稻谷、小麦等主要粮食品种的财政支持水平。完善玉米和大豆生产者补贴政策。扩大农业大灾保险试点。完善粮食库存消化政策，分品种把握好去库存节奏和力度。深入实施优质粮食工程，增加绿色优质农产品供给。全面推进农业水价综合改革。稳步推进农村综合性改革试点试验。

We will deepen agricultural and rural reforms. 

We will move more quickly to develop policies that support and protect a new type of agriculture. Upholding green development and ecological conservation as our guiding principles, we will continue to reform the system for agricultural subsidies. Rural development funds will be further integrated and used in a coordinated way. We will remain committed to carrying out market-oriented reforms, adjust and refine minimum purchase price policies, and stabilize the level of fiscal support for rice, wheat, and other major grain varieties. We will improve the policy on subsidizing corn and soybean production. Trials on agricultural catastrophe insurance will be expanded. We will improve the policies on reducing excess grain stockpiles, and maintain an appropriate tempo and intensity of reduction based on different varieties of grain. We will work hard to implement the quality grain project and increase the supply of high quality green produce. Reform of pricing for water used in agriculture will be advanced across the country, and trials and experiments for comprehensive rural reform will progress steadily.

7．加强保障和改善民生。

7) Doing more to ensure and improve living standards

积极促进就业创业。中央财政就业补助资金安排538.78亿元，增长14.9%，再通过调整失业保险基金等支出结构，大力促进就业创业。落实国家普惠性就业创业政策，支持高校毕业生、农民工和退役军人等重点群体就业，对招用农村贫困人口、城镇登记失业半年以上人员的各类企业，三年内给予定额税费减免。加大创业担保贷款贴息支持力度，将符合条件的个人和小微企业创业担保贷款最高额度分别提高至15万元和300万元。鼓励企业加强在岗培训，对职工教育经费提高税前扣除限额。通过支持大规模开展职业技能培训、全面推行企业新型学徒制、实施国家高技能人才振兴计划等，促进提升劳动者就业技能，缓解劳动力市场结构性矛盾。

We will actively promote employment and business startups. 

The central government will allocate 53.878 billion yuan for employment subsidies, which is an increase of 14.9%, and great support will be provided to boost employment and business startups through adjustment of spending structures in such areas as unemployment insurance funds. Inclusive policies for employment and entrepreneurship will be implemented, and we will provide support for the employment of key groups like university graduates, rural migrant workers, and demobilized military personnel. Enterprises hiring staff from rural poor populations or from the urban registered unemployed population for a minimum period of six months will be entitled to a fixed amount of tax and fee deductions for three years. We will offer greater financial support to subsidize interest payments on guarantee loans for business startups, raising the loan ceilings to 150,000 yuan for qualified individuals and 3 million yuan for small and micro businesses. We will encourage enterprises to step up on-the-job training by raising the ceiling on deductible expenses for employee education. We will support large-scale vocational skills training, the introduction of new types of apprenticeships in enterprises across the board, and implementation of the national plan to cultivate highly-skilled personnel, so as to help raise the level of workers' employment skills and alleviate the structural problems of the labor market.

支持优先发展教育事业。巩固城乡统一、重在农村的义务教育经费保障机制，支持义务教育薄弱环节改善和能力提升，重点消除城镇“大班额”，加强乡村小规模学校和乡镇寄宿制学校建设，保障进城务工人员随迁子女教育。继续做好义务教育教师工资待遇保障工作。加强乡村教师队伍建设。中央财政支持学前教育发展资金安排168.5亿元，增长13.1%，促进公办民办并举扩大普惠性学前教育资源。中央财政现代职业教育质量提升计划专项资金安排237.21亿元，增长26.6%，支持职业教育改革发展，深化产教融合、校企合作。扩大高职院校奖助学金覆盖面、提高资助标准。设立中等职业教育国家奖学金。健全中央高校预算拨款制度体系，支持地方高校改革发展，加快推进“双一流”建设。支持办好民族教育、特殊教育。完善家庭经济困难学生资助制度，提升资助精准度。

We will prioritize the development of education. 

We will consolidate and build on the unified funding mechanism for compulsory education in urban and rural areas, with a focus on rural areas. We will support the strengthening of weak links and improvement of abilities in compulsory education, focus on eliminating extremely large class sizes in urban schools, step up the development of small-scale schools in villages and boarding schools in counties and townships, and ensure access to education for children living with their migrant worker parents in cities. We will continue work to ensure the full payment of pay packages to teachers working in compulsory education, and step up efforts to strengthen the teacher workforce in rural areas. 

In support of the development of preschool education, the central government will allocate 16.85 billion yuan, an increase of 13.1%, for the expansion of inclusive preschool education resources including both public and private schools. Central government funding for initiatives devised to improve the quality of modern vocational education will reach 23.721 billion yuan, a rise of 26.6%, as part of an effort to support reform and development of vocational education, and promote integration between industry and vocational education and cooperation between colleges and businesses. We will expand the coverage of scholarships and grants for vocational college students and raise the level of financial assistance. A state scholarship for secondary vocational education will be established. 

We will improve the budgetary appropriation system for institutions of higher learning directly under the central government, support the reform and development of local universities, and accelerate the pace of developing world-class universities and world-class disciplines. We will support the development of quality education for ethnic minority groups and people with special needs. We will improve the system of financial aid for students from families in financial difficulty, making such aid more targeted. 

提高养老保障水平。从2019年1月1日起，按平均约5%的幅度提高企业和机关事业单位退休人员基本养老金标准。提高企业职工基本养老保险基金中央调剂比例至3.5%，加快推进养老保险省级统筹，推动地方进一步统一政策和基金统收统支，为实现全国统筹创造条件。继续划转部分国有资本充实社保基金。

We will increase the level of guarantee for aged-care pensions. 

Starting from January 1, 2019, we have raised basic pension payments for retirees of enterprises, government offices, and public institutions by an average of 5%. We will increase the centrally-regulated share of basic aged-care pension funds for enterprise employees to 3.5%, accelerate efforts in advancing overall planning of aged-care pension schemes at the provincial level, and urge local authorities to further unify policies and the collection and spending of funds, to create the right conditions for overall planning at the national level. We will continue to appropriate a portion of state capital to replenish social security funds.

推进健康中国建设。支持全面建立统一的城乡居民基本医疗保险和大病保险制度，城乡居民医保财政补助标准提高30元，达到每人每年520元，提高的30元中安排一半用于增强大病保险保障能力，同时合理提高个人缴费标准。支持深化基本医疗保险支付方式改革和医疗保险信息系统建设，提高医保资金使用效率，加强基金监管。基本公共卫生服务经费人均财政补助标准提高5元，加上从原重大公共卫生服务平移的补助资金折算为人均9元，达到每人每年69元，其中新增基本公共卫生服务财政补助经费全部用于村和社区。深化公立医院综合改革，完善政府对公立医院的投入政策，巩固公立医院破除以药补医成果。推进区域医疗中心建设。支持实施癌症防治行动。加强卫生健康人才培养培训。支持中医药事业传承创新发展。

We will make progress in building a Healthy China. 

We will support the establishment of unified basic health and unified major disease insurance schemes for rural and non-working urban residents across the country, and increase government subsidies for medical insurance for rural and non-working urban residents by 30 yuan to reach 520 yuan per person per annum, with half of the 30 yuan to be used for strengthening the guarantee for major disease insurance, while at the same time raising the rates for individual contributions by an appropriate amount. We will support further reform of payment methods for basic health insurance and the building of health insurance information systems, increase the efficiency of the use of insurance funds, and strengthen oversight of such funds. Per capita government subsidies for basic public health services will rise by 5 yuan, and adding a 9 yuan subsidy from the original funding for major public health services, government subsidies will reach 69 yuan per person per year. The entirety of the increases in subsidies for basic public health services will be used for villages and communities. We will deepen comprehensive reform of the public hospital sector, refine the policies on government investment into public hospitals, and consolidate the progress we have made in halting the practice of charging high medicine prices to compensate for low medical service fees in public hospitals. We will advance the development of regional medical service centers, support actions toward cancer prevention and treatment, and step up the cultivation and training of healthcare personnel. We will support the preservation, innovation, and development of traditional Chinese medicine. 

加强基本住房保障。中央财政城镇保障性安居工程专项资金安排1433亿元，增长12.4%。严把棚改范围和标准，坚持将老城区脏乱差的棚户区和国有工矿区、林区、垦区棚户区作为改造重点。支持城镇公租房建设和老旧小区改造，开展住房租赁市场发展试点。农村危房改造补助资金安排298.5亿元，增长12.9%，支持优先开展建档立卡贫困户、低保户、分散供养特困人员和贫困残疾人家庭等重点对象危房改造，资金增量主要用于地震高烈度设防地区农房抗震改造。

We will strengthen basic housing security. 

The central government will allocate 143.3 billion yuan for government-subsidized housing projects in urban areas, an increase of 12.4%. We must be strict in determining the scope and standards for redeveloping run-down areas; our efforts should focus on dirty, disorderly, and unsanitary parts of old city centers and on run-down state-owned industrial and mining areas, forest regions, and land reclamation zones. We will support the development of public-rental housing and renovation of old residential communities in cities, and conduct trials on development of the housing rental market. Central government funding for dilapidated rural housing renovation will reach 29.85 billion yuan, increasing by 12.9%, with priority given to registered poor households, recipients of subsistence allowances, people in extreme poverty who live at home on government assistance, and financially disadvantaged families of people with disabilities. The increased funds are to be used primarily for upgrading rural housing in areas of high seismic activity to make them more earthquake resistant.

强化民生政策兜底。统筹推进社会救助体系建设，中央财政困难群众救助补助资金安排1466.97亿元，增长5.1%，支持各地开展低保、特困人员救助供养、临时救助、流浪乞讨人员救助、孤儿基本生活保障等工作，其中，按人均补助水平城镇提高5%、农村提高8%的幅度增加对地方低保的补助。中央财政医疗救助补助资金安排271.01亿元，适度提高医疗救助水平。加大对困境儿童、农村留守儿童的保护力度。完善困难残疾人生活补贴和重度残疾人护理补贴政策，支持残疾人事业发展。

We will strengthen policies to ensure people's basic living needs are met. 

We will coordinate efforts to build a social assistance system. The central government will allocate 146.697 billion yuan, a 5.1% increase over the previous year, in aid subsidies for groups in difficulty, to support local governments in providing subsistence allowances, assistance to people in extreme poverty, temporary assistance, and assistance to beggars and the homeless, and in ensuring basic living conditions for orphans. Out of that amount, per capita subsistence allowances will grow by an average of 5% for urban beneficiaries, and 8% for rural beneficiaries. Central government funding for medical aid subsidies will total 27.101 billion yuan, and the level of medical assistance will be increased as appropriate. We will provide a better level of protection for children in difficult situations and those left behind in rural areas. We will refine the policies on providing living allowances to people with disabilities who face financial difficulties and on granting care subsidies to people with serious disabilities, and provide financial support for programs that benefit people with disabilities.

促进文化事业发展。中央补助地方公共文化服务体系建设专项资金安排147.1亿元，增长14%。加快构建现代公共文化服务体系，提高基本公共文化服务的覆盖面和适用性。推进文物保护利用和文化遗产保护传承。支持繁荣发展社会主义文艺。推动媒体融合发展，加强国际传播能力建设。加大运用市场化方式支持文化产业发展的力度。改善城乡公共体育设施条件，支持广泛开展全民健身活动。支持做好北京冬奥会、冬残奥会筹办工作。

We will promote the development of cultural programs. 

The central government will allocate 14.71 billion yuan in subsidies for the development of systems for local public cultural services, an increase of 14%. We will accelerate the establishment of a modern public cultural services system, and work to expand the coverage of basic public cultural services and better adapt them to meet specific local needs. We will advance efforts to protect and utilize cultural relics and protect and pass on Chinese cultural heritage, and we will support the flourishing development of socialist literature and arts. Promoting the integrated development of media, we will strengthen capacity building for international communication. Stronger support through market-based approaches will be provided to facilitate the development of the cultural sector. We will improve public sports facilities in both rural and urban areas and support extensive fitness-for-all activities. We will contribute our part to the preparatory work for the 2022 Winter Olympics and Paralympics in Beijing.

8．支持国防、外交和政法工作。

8) Supporting national defense, diplomacy, and judicial and law enforcement work

支持国防和军队改革，全面推进国防和军队现代化建设。加快推进军民融合深度发展，做好资金保障，健全配套政策。完善优抚安置制度体系，落实退役军人待遇保障，完善退役士兵基本养老、基本医疗保险接续政策，中央财政继续增加对军队转业干部、退役安置、优抚对象等补助经费。支持中国特色大国外交，深度参与全球治理体系改革和建设，坚定维护和增进国家利益。支持深化国家监察体制和司法体制改革。完善社会治安防控体系，加强法律援助工作，深入推进平安中国、法治中国建设。

We will support national defense and military reform, and push forward defense and military modernization across the board. We will work faster to intensify civil-military integration, providing financial support and improving supporting policies. We will improve our systems for the provision of benefits to entitled groups, work to ensure demobilized military personnel receive their due benefits and care, and improve polices on basic aged-care insurance and basic medical insurance for demobilized military personnel. The central government will continue to increase funding for subsidies for army officers transferred to civilian jobs, settlement of demobilized military personnel, and entitled groups. We will support the development of China's diplomacy as a major country, fully participate in the reform and development of the global governance system, and stand firm in safeguarding and advancing national interests. We will support deeper reform of the national supervisory system and judicial system. We will improve the crime prevention and control system, strengthen the provision of legal aid, and further pursue the Peaceful China and rule of law initiatives.

（四）2019年一般公共预算收入预计和支出安排。

4. Revenue and expenditure in the general public budgets for 2019

1．中央一般公共预算。

1) Central general public budget

中央一般公共预算收入89800亿元，比2018年执行数同口径（下同）增长5.1%。加上从中央预算稳定调节基金调入2800亿元，从中央政府性基金预算、中央国有资本经营预算调入394亿元，收入总量为92994亿元。中央一般公共预算支出111294亿元，增长8.7%。收支总量相抵，中央财政赤字18300亿元，比2018年增加2800亿元。中央预算稳定调节基金余额963.99亿元。

Revenue in the central general public budget is expected to be 8.98 trillion yuan, an increase of 5.1% over the actual figure for 2018 (as detailed below). Adding in 280 billion yuan from the Central Budget Stabilization Fund and 39.4 billion yuan from the budgets of central government-managed funds and central government state capital operations, the total revenue for 2019 will be 9.2994 trillion yuan. Expenditure in the central general public budget is projected to reach 11.1294 trillion yuan, an increase of 8.7%. Total expenditure is projected to exceed total revenue, leaving a deficit of 1.83 trillion yuan, an increase of 280 billion yuan over last year. The Central Budget Stabilization Fund is projected to carry a balance of 96.399 billion yuan.

按照党的十九大报告提出的“建立权责清晰、财力协调、区域均衡的中央和地方财政关系”要求，结合我国中央与地方共同财政事权较多的实际情况，2019年中央财政将原转移支付中属于共同财政事权的项目整合设立共同财政事权转移支付，暂列入一般性转移支付，以集中反映中央承担的共同财政事权的支出责任，进一步加强共同财政事权经费保障，更好推进基本公共服务均等化。同时，将中央对地方税收返还与固定数额补助合并，列入一般性转移支付。作出上述调整后，一般性转移支付和专项转移支付的项目和规模的口径发生较大变化，并已体现在2019年预算中。

In 2019, in accordance with the requirements of establishing a fiscal relationship between the central and local governments built on clearly defined powers and responsibilities, appropriate financial resource allocation, and greater regional balance as stated in the report to the Party's 19th National Congress, and combined with the oft-encountered reality of fiscal powers in China being shared between central and local governments, the central government will take items subject to shared fiscal powers covered by transfer payments to set up integrated transfer payments under shared fiscal powers, and include them into general transfer payments. This will fully reflect the expenditure responsibilities of the central government under shared fiscal powers, strengthen guarantees of adequate funding under shared fiscal powers, and better promote the equalization of access to basic public services. At the same time, central government tax rebates to local governments and subsidies of fixed amounts will be merged, and included into general transfer payments. After making the above adjustments, the items and scales of general transfer payments and special transfer payments have changed greatly, which is reflected in the 2019 budgets.

2019年中央一般公共预算支出分中央本级支出、对地方转移支付、中央预备费反映。

The 2019 expenditures in the central general public budget are divided into central government expenditures, transfer payments to local governments, and payments to central government reserve funds.

（1）中央本级支出35395亿元，增长6.5%。其中：一般公共服务支出1990.46亿元，下降3.1%。外交支出627.1亿元，增长7.4%。国防支出11898.76亿元，增长7.5%。公共安全支出1797.8亿元，增长5.6%。教育支出1835.13亿元，增长6%。科学技术支出3543.12亿元，增长13.4%。粮油物资储备支出1177.15亿元，下降14.2%，主要是玉米、大豆去库存成效显著，相应减少利息费用补贴支出。债务付息支出4994.23亿元，增长20%。

(1) Central government expenditures will total 3.5395 trillion yuan, up 6.5%. This can be broken down as follows: General public service spending will total 199.046 billion yuan, down by 3.1%. Spending on foreign affairs will total 62.71 billion yuan, up 7.4%. National defense spending will amount to 1.189876 trillion yuan, up 7.5%. Public security expenses will total 179.78 billion yuan, up 5.6%. Spending on education will reach 183.513 billion yuan, up 6%. Spending on science and technology will be 354.312 billion yuan, up 13.4%. Spending on stockpiling grain, edible oils, and other materials will total 117.715 billion yuan, a reduction of 14.2%, which is mainly due to the remarkable progress made in reducing excess stockpiles of corn and soybeans and a corresponding reduction in spending on subsidizing interest payments on loans for their stockpiling. Interest payments on debt will total 499.423 billion yuan, up 20%.

（2）对地方转移支付75399亿元，增长9%。一般性转移支付67763.1亿元，增长7.5%，其中，共同财政事权转移支付31845.69亿元，主要用于保障教育、卫生健康、社会保障、农业农村、节能环保等领域共同财政事权有关政策的落实。专项转移支付7635.9亿元，扣除土地指标跨省域调剂收入安排的支出和整合新设自然灾害防治体系建设补助资金后，增长8.1%，主要用于保障污染治理、乡村振兴、重点区域发展等党中央、国务院重大决策部署的落实。

(2) A total of 7.5399 trillion yuan will be transferred to local governments, up 9%. General transfer payments to local governments will total 6.77631 trillion yuan, up 7.5%. Of this amount, transfer payments under shared fiscal powers will be 3.184569 trillion yuan and mainly used for ensuring the implementation of relevant policies on shared fiscal powers in education, healthcare, social security, agriculture and rural areas, energy conservation and environmental protection, and other areas. Special transfer payments to local governments will total 763.59 billion yuan, an increase of 8.1% after deducting the expenditure allocated from the proceeds of inter-provincial land quota adjustments and the subsidies for establishing an integrated prevention and control system for natural disasters. These special transfer payments will be mainly used to ensure implementation of the major policy decisions and plans of the Party Central Committee and the State Council on pollution control, rural revitalization, and the development of key areas.

（3）中央预备费500亿元，与2018年预算持平。预备费执行中视情况分别计入中央本级支出和对地方转移支付。

(3) Central government reserve funds total 50 billion yuan, which is consistent with the budgeted figure for 2018. The use of reserve funds will be counted as either central government expenditure or transfer payments to local governments, as the situation requires.

2．地方一般公共预算。

2) Local general public budget

地方一般公共预算本级收入102700亿元，增长4.9%。加上中央对地方转移支付收入75399亿元、地方财政调入资金及使用结转结余11950亿元，收入总量为190049亿元。地方一般公共预算支出199349亿元，增长6.2%。地方财政赤字9300亿元，比2018年增加1000亿元，通过发行地方政府一般债券弥补。

Revenue in the local general public budget is projected to be 10.27 trillion yuan, up 4.9%. Adding in 7.5399 trillion yuan in transfer payments from the central government and 1.195 trillion yuan transferred from other local sources and utilized carryover and surplus funds, the total revenue is expected to reach 19.0049 trillion yuan. Expenditure in the local general public budget is projected to be 19.9349 trillion yuan, an increase of 6.2%. This will create a deficit of 930 billion yuan at the local level, an increase of 100 billion yuan over 2018, which will be made up for through local government issuance of general bonds.

3．全国一般公共预算。

3) National general public budget

汇总中央和地方预算，全国一般公共预算收入192500亿元，增长5%。加上调入资金及使用结转结余15144亿元，收入总量为207644亿元。全国一般公共预算支出235244亿元（含中央预备费500亿元），增长6.5%。赤字27600亿元，比2018年增加3800亿元。

Revenue in the national general public budget is projected to total 19.25 trillion yuan, an increase of 5%. With the addition of 1.5144 trillion yuan transferred from other sources and utilized carryover and surplus funds, the total revenue is expected to reach 20.7644 trillion yuan. Expenditure in the national general public budget is 23.5244 trillion yuan (including 50 billion yuan for central government reserve funds), an increase of 6.5%. This will leave a deficit of 2.76 trillion yuan, an increase of 380 billion yuan over 2018.

（五）2019年政府性基金预算收入预计和支出安排。

5. Budgetary revenue and expenditure of government-managed funds for 2019

中央政府性基金收入4193.15亿元，增长4%。加上上年结转收入358.24亿元，收入总量为4551.39亿元。中央政府性基金支出4547.16亿元，增长13.1%，其中，本级支出3395.55亿元，增长9.9%；对地方转移支付1151.61亿元，增长23.5%。调入一般公共预算4.23亿元。

Revenue of central government-managed funds is projected to be 419.315 billion yuan, up 4%. Adding in 35.824 billion yuan carried forward from last year, the total revenue will reach 455.139 billion yuan. Expenditure of central government-managed funds is expected to total 454.716 billion yuan, up 13.1%. This figure consists of 339.555 billion yuan of central government expenditure, an increase of 9.9%, and 115.161 billion yuan in transfer payments to local governments, an increase of 23.5%. A projected 423 million yuan will be transferred into the central general public budget.

地方政府性基金本级收入73754.56亿元，增长3.3%，其中，国有土地使用权出让收入67077.39亿元，增长3%。加上中央政府性基金对地方转移支付收入1151.61亿元、地方政府专项债务收入21500亿元，地方政府性基金相关收入为96406.17亿元。地方政府性基金相关支出96406.17亿元，增长24.4%，其中，国有土地使用权出让收入支出64656.96亿元（不包括专项债券相关支出），增长15.3%。

Revenue of local government-managed funds is projected to be 7.375456 trillion yuan, up 3.3%. Of this figure, proceeds from selling state-owned land-use rights account for 6.707739 trillion yuan, an increase of 3%. Adding in 115.161 billion yuan in transfer payments from central government-managed funds and 2.15 trillion yuan of revenue generated from local government special debt, revenue of local government-managed funds is projected to total 9.640617 trillion yuan. Expenditure of local government-managed funds is expected to total 9.640617 trillion yuan, up 24.4%. This figure includes 6.465696 trillion yuan of expenditure funded by the proceeds from selling state-owned land-use rights (not including expenditure on the issuance of special bonds), an increase of 15.3%.

汇总中央和地方预算，全国政府性基金收入77947.71亿元，增长3.4%。加上上年结转收入358.24亿元和地方政府专项债务收入21500亿元，全国政府性基金相关收入为99805.95亿元。全国政府性基金相关支出99801.72亿元，增长23.9%。

Revenue of the government-managed funds nationwide is projected to be 7.794771 trillion yuan, an increase of 3.4%. Adding in 35.824 billion yuan carried forward from last year and 2.15 trillion yuan of revenue generated from local government special debt, the total revenue is projected to be 9.980595 trillion yuan. Expenditure of government-managed funds nationwide is projected to be 9.980172 trillion yuan, up 23.9%.

（六）2019年国有资本经营预算收入预计和支出安排。

6. Budgetary revenue and expenditure of state capital operations for 2019

中央国有资本经营预算收入1638.11亿元，增长23.6%。加上上年结转收入5.63亿元，收入总量为1643.74亿元。中央国有资本经营预算支出1253.97亿元，增长12.8%，其中，本级支出1135.97亿元，增长10.8%；对地方转移支付118亿元。调入一般公共预算389.77亿元，增长21.2%，调入比例进一步提高到28%。

Budgetary revenue of central government state capital operations is projected to be 163.811 billion yuan, up 23.6%. Adding in 563 million yuan carried forward from last year will bring the projected total to 164.374 billion yuan. 

Budgetary expenditure of central government state capital operations is expected to be 125.397 billion yuan, up 12.8%. This figure consists of 113.597 billion yuan of central government expenditure, which is an increase of 10.8%, and 11.8 billion yuan in transfer payments to local governments. A projected 38.977 billion yuan will be transferred into the central general public budget, an increase of 21.2%, further raising the proportion of funds in the central government's state capital operations budget transferred into its general public budget to 28%.

地方国有资本经营预算本级收入1727.73亿元，增长9.7%。加上中央国有资本经营预算对地方转移支付收入118亿元，收入总量为1845.73亿元。地方国有资本经营预算支出1264.88亿元，增长11.5%。调入一般公共预算580.85亿元。

Budgetary revenue of local government state capital operations is projected to be 172.773 billion yuan, up 9.7%. Adding in 11.8 billion yuan in transfer payments from the central government state capital operations budget, the total revenue will be 184.573 billion yuan. Budgetary expenditure of local government state capital operations is estimated to be 126.488 billion yuan, up 11.5%. A projected 58.085 billion yuan will be transferred into the local general public budget.

汇总中央和地方预算，全国国有资本经营预算收入3365.84亿元，增长16.1%。加上上年结转收入5.63亿元，收入总量为3371.47亿元。全国国有资本经营预算支出2400.85亿元，增长11.2%。调入一般公共预算970.62亿元。

Revenue in the state capital operations budgets of both the central and local governments is projected to be 336.584 billion yuan, up 16.1%. Adding in 563 million yuan carried over from last year, the total budgetary revenue of state capital operations nationwide will be 337.147 billion yuan. Budgetary expenditure of state capital operations nationwide is expected to be 240.085 billion yuan, up 11.2%. A projected 97.062 billion yuan will be transferred into general public budgets.

（七）2019年社会保险基金预算收入预计和支出安排。

7. Budgetary revenue and expenditure of social security funds for 2019

中央社会保险基金收入709.23亿元，增长21.8%，其中，保险费收入377.54亿元，财政补贴收入324.25亿元。加上地方上缴的中央调剂基金收入4826.6亿元，收入总量为5535.83亿元。中央社会保险基金支出696.34亿元，增长30.9%。加上安排给地方的中央调剂基金支出4813.6亿元，支出总量为5509.94亿元。本年收支结余25.89亿元，年末滚存结余341.38亿元。

Revenue of central government social security funds is projected to be 70.923 billion yuan, up 21.8%, which includes 37.754 billion yuan in insurance premiums and 32.425 billion yuan in government subsidies. Adding in 482.66 billion yuan paid by local governments to be under central regulation, the total revenue will reach 553.583 billion yuan. Expenditure of central government social security funds is expected to reach 69.634 billion yuan, up 30.9%. Adding in the 481.36 billion yuan to be reallocated to local governments through central regulation, the total expenditure is expected to be 550.994 billion yuan. With this year's projected surplus of 2.589 billion yuan, the year-end balance will be 34.138 billion yuan after the balance from 2018 has been rolled over.

地方社会保险基金收入78968.31亿元，增长9.6%，其中，保险费收入56616.19亿元，财政补贴收入19144.71亿元。加上中央调剂资金收入4813.6亿元，收入总量为83781.91亿元。地方社会保险基金支出73555.95亿元，增长14.8%。加上中央调剂资金支出4826.6亿元，支出总量为78382.55亿元。本年收支结余5399.36亿元，年末滚存结余91421亿元。

Revenue of local government social security funds is projected to be 7.896831 trillion yuan, up 9.6%, which includes 5.661619 trillion yuan in insurance premiums and 1.914471 trillion yuan in government subsidies. Adding in 481.36 billion yuan from local social security funds to be under central regulation, the total revenue will reach 8.378191 trillion yuan. Expenditure of local government social security funds is expected to be 7.355595 trillion yuan, up 14.8%. Adding in the 482.66 billion yuan from local social security funds to be reallocated by the central government, the total expenditure is expected to be 7.838255 trillion yuan. With this year's projected surplus of 539.936 billion yuan, the year-end balance will be 9.1421 trillion yuan after the balance from 2018 has been rolled over.

汇总中央和地方预算，全国社会保险基金收入79677.54亿元，增长9.7%，其中，保险费收入56993.73亿元，财政补贴收入19468.96亿元。全国社会保险基金支出74252.29亿元，增长15%。本年收支结余5425.25亿元，年末滚存结余91762.38亿元。

Counting both central and local government budgets, revenue of social security fund budgets nationwide is projected to be 7.967754 trillion yuan, up 9.7%. This includes 5.699373 trillion yuan in insurance premiums and 1.946896 trillion yuan in government subsidies. Expenditure of social security funds nationwide is expected to total 7.425229 trillion yuan, up 15%. With this year's projected surplus of 542.525 billion yuan, the year-end balance will be 9.176238 trillion yuan after the balance from 2018 has been rolled over.

2019年，中央财政国债余额限额175208.35亿元；地方政府一般债务余额限额133089.22亿元、专项债务余额限额107685.08亿元。

In 2019, the ceiling for outstanding central government bonds is 17.520835 trillion yuan; the ceiling for outstanding local government general bonds is 13.308922 trillion yuan; and the ceiling for outstanding local government special bonds is 10.768508 trillion yuan.

需要说明的是，地方预算由地方各级人民政府编制，报同级人民代表大会批准，目前尚在汇总中，本报告中地方收入预计数和支出安排数均为中央财政代编。

It should be noted that as local budgets are formulated by local people's governments and submitted for approval to the people's congresses at their respective levels, the relevant data is still being compiled. All projected figures for local revenue and expenditure in this report have been compiled in lieu of the final projections by the central finance authorities.

以上预算具体安排及相关说明详见《中华人民共和国2018年全国预算执行情况2019年全国预算（草案）》。

For a detailed account of the above budget arrangements, please refer to the Chinese language version of the Report on the Execution of the 2018 Budgets of the People's Republic of China and the 2019 Draft Budgets. 

根据预算法规定，预算年度开始后，在全国人民代表大会批准本预算草案前，可安排下列支出：上年度结转支出；参照上年同期的预算支出数额安排必须支付的本年度部门基本支出、项目支出，以及对下级政府的转移性支出；法律规定必须履行支付义务的支出，以及用于自然灾害等突发事件处理的支出。根据上述规定，2019年1月中央一般公共预算支出13453亿元，其中，中央本级支出2104亿元，对地方转移支付11349亿元。

In accordance with the Budget Law, after the beginning of a new budget year and prior to the approval of these draft budgets by the National People's Congress, arrangements may be made for the following expenditures: carryover expenditures from the previous fiscal year; government department basic expenditures and program expenditures, and transfer payments to lower-level governments, that must be made in the current year after referring to the amount of budgetary expenditures for the corresponding period over the previous year; expenditures mandated by law, and expenditures for dealing with natural disasters and other emergencies. Based on the above stipulations, in January 2019, expenditures in the central general public budget totaled 1.3453 trillion yuan, including 210.4 billion yuan spent at the central level and 1.1349 trillion yuan in transfer payments made to local governments.

三、扎实做好2019年财政改革发展工作

III. Fiscal Reform and Development in 2019

2019年经济社会发展任务重、挑战多。要深入贯彻党中央、国务院决策部署，紧扣重要战略机遇新内涵，紧紧抓住和用好战略机遇，统筹兼顾、突出重点，精准发力做好财政改革发展各项工作，推动经济社会发展取得新成就。

Economic and social development in 2019 is faced with arduous tasks and many challenges. We must fully implement the policy decisions and plans of the Party Central Committee and the State Council, focus on the new elements of important strategic opportunities and take advantage of such opportunities, take coordinated action that covers all sectors and focus on clear priorities, and take well-targeted steps to carry out all work related to fiscal reform and development. In this way, we will achieve new success in economic and social development.

（一）严格实施预算法。

1. Ensuring strict compliance with the Budget Law

牢固树立预算法治意识，全面落实预算法，尽快修订出台预算法实施条例，进一步规范财政收支管理。研究进一步扩大国有资本经营预算实施范围。加强社会保险基金预算管理和收支管理，推进信息化建设。加大预算决算公开力度，拓展公开范围和内容。增强预算编制的科学性、准确性，深化部门预算改革，加快构建科学的预算支出标准体系，提升部门预算的全面性、规范性和透明度。严格按照人大批准的预算执行，强化预算执行主体责任，加强预算执行管理和监督，硬化预算约束，依法进行预算调剂。完善国库集中支付运行机制，健全财政资金动态监控体系，保障预算单位财政资金使用安全。加强地方暂存款管理，除国库集中支付结余外一律不得按权责发生制列支。严格规范暂付款的范围、期限和审批程序，严控增量、消化存量。强化政府投资基金、涉企财政资金、民生资金监督管理，推动财税政策有效落实，严肃财经纪律。

We will firmly establish awareness of the rule of law in the execution of the budgets, fully implement the Budget Law, release the revised regulations on implementation of the Budget Law at the earliest possible date, and further improve standardization of fiscal revenue and expenditure management. We will study how to further expand the scope of state capital operations budgets, strengthen management of budgets, revenue, and expenditure for social security funds, and promote the application of information technology. We will do more to release budgets and final accounts, expanding the scope and content of information that is made publicly available. We will make budget compilation more scientific and accurate, and deepen the reform of departmental budgets by moving faster to establish a sound system of standards for budgetary expenditure, and making departmental budgets more comprehensive, standard, and transparent. 

We will strictly implement the budgets approved by people's congresses, emphasize the primary responsibility of budget institutions for budget execution, strengthen management and oversight of budget execution, make budgets more binding, and make necessary budgetary adjustments in accordance with the law. We will improve operating mechanisms for centralized treasury payments and the dynamic monitoring system for government funds, ensuring that budget institutions use these funds safely. We will strengthen management of local government suspense deposits and see to it that no expenditures shall be produced based on accrual accounting except surplus from centralized treasury payments. We will strictly regulate the scope, time limits, and approval procedures of suspense payments, closely control expansion of such payments, and reduce the existing number of such payments. We will tighten oversight and management of government investment funds, government funding for enterprises, and funds aimed at improving the people's wellbeing, and make a push for effective action on fiscal and tax policies and a serious tightening up of financial discipline.

（二）深化财税体制改革。

2. Deepening fiscal and tax system reform

抓紧制定应急救援、自然资源等领域中央与地方财政事权和支出责任划分改革方案。在保持中央与地方财力格局总体稳定的基础上，稳步推进中央与地方收入划分改革。完善转移支付制度，优化中央对地方转移支付体系，增加一般性转移支付规模，健全专项转移支付定期评估和退出机制。深化增值税改革。落实综合与分类相结合的个人所得税制，推进个人收入和财产信息系统建设。逐步健全地方税体系，研究将部分品目消费税征收环节后移。落实税收法定原则要求，加大推进税收立法相关工作力度。加快形成采购主体职责清晰、交易规则科学高效、监管机制健全、政策功能完备、法律制度完善、技术支撑先进的现代政府采购制度。完善地方政府债券发行管理，提升发行定价市场化水平，促进投资主体多元化。做好政府会计准则制度的贯彻实施，进一步扩大政府财务报告编制试点范围。推进国有资本投资、运营公司改革试点。建立健全国有资产报告制度体系，做好2018年度国有资产综合报告和行政事业性国有资产专项报告工作。

We will lose no time in drawing up plans for reforms that facilitate clear division of respective fiscal powers and expenditure responsibilities of central and local governments in areas including emergency relief services and natural resources. We will steadily reform the division of revenue between central and local governments while maintaining general stability in their respective fiscal strength. We will improve the transfer payments system, optimizing the system for transfer payments from central to local governments, expanding the scale of general transfer payments, and improving the mechanisms for regular evaluation and exiting of special transfer payments. We will deepen VAT reform. We will implement an individual income tax system that is based on both adjusted gross income and specific types of income, and work on creating an individual income and property ownership information system. We will steadily improve local tax systems, and study the possibility of collecting excise tax on certain items during a further downstream stage of the production-to-consumption process. 

We will ensure taxation is administered in accordance with the law, and intensify efforts to promote tax legislation and relevant work. We will accelerate development of a modern government procurement system featuring clearly defined duties and responsibilities of procurement entities, well-conceived and effective trading rules, sound oversight mechanisms, a full array of policy functions, an improved system of laws, and advanced technological support. We will improve management of local government bond issuance, make issue prices more market-based, and encourage more parties to invest. We will implement the system of governmental accounting principles and further expand the scope of the trial preparation of government financial statements. Trial reforms in state capital investment and management companies will be advanced. We will establish a sound reporting system for state-owned asset management, and accomplish our work regarding comprehensive reporting on state-owned assets and special reporting on state-owned assets of government administrative offices and public institutions for the year 2018.

（三）落实减税降费各项措施。

3. Implementing measures to cut taxes and fees

各地区各部门上下联动、协同并进，加大工作力度，共同把减税降费工作做实做好。抓紧制定简明易行可操作的实施方案并尽早公布实施，推动形成稳定积极的预期，将中央经济工作会议关于实施更大规模减税降费的部署切实落实到位。加强组织领导，精心谋划部署，让企业尽快享受政策红利。进一步增强服务意识，开展多种形式的政策宣传和解读，加强对企业家的宣介和对企业财务人员的培训以及政策辅导，帮助企业知晓政策、用足用好政策。密切跟踪减税降费政策执行情况，及时研究解决政策实施过程中的问题，不断完善政策举措。加强收费项目清单“一张网”建设，健全乱收费举报投诉查处机制。加大督查和监督力度，确保各项措施落实到位，让企业和人民群众有实实在在的获得感。

All regions and government departments at all levels need to work together, coordinate their actions, and intensify their efforts to jointly reduce taxes and fees. We will promptly formulate simple, feasible, and practicable implementation plans for tax and fee cuts, and promulgate them as soon as possible. In so doing, we will facilitate the formation of stable and positive expectations, and ensure effective action on all arrangements set forth at the Central Economic Work Conference regarding the implementation of larger-scale tax and fee cuts. 

We will strengthen organization and guidance and plan carefully to ensure our policies bring benefits to enterprises as soon as possible. We will raise our awareness of services, and help businesses understand and make the best of our policies by publicizing and explaining them in various ways, communicating with entrepreneurs, and offering more training and policy guidance to financial personnel in businesses. We will closely follow the implementation of policies on tax and fee cuts, and promptly study and resolve any problems that may arise during the course of implementation, in an effort to constantly improve our policy measures. We will step up development of a comprehensive national listing system for government-managed funds, administrative charges, and business and services fees set by the government, and improve the system for accepting and handling reports and complaints of illegitimate charging. Oversight and supervision will be strengthened to ensure effective implementation of all measures, so as to enable enterprises and people to feel a true sense of gain.

（四）健全民生支出管理机制。

4. Improving the system for managing expenditures aimed at improving quality of life

统筹经济发展和民生改善，坚持尽力而为、量力而行，突出保基本、兜底线，提高保障和改善民生水平，让人民群众有更多获得感。完善中央民生政策落实机制，地方预算安排要优先保障中央民生政策需要，确保中央民生政策落实到位。围绕人民群众基本公共服务需求，探索建立民生支出清单管理制度，明确相关政策名称、保障范围、支出标准和备案流程等，地方自行出台民生支出政策应按程序备案。加强民生政策事前论证评估，充分考虑各级政府特别是基层政府和困难地区的财力，全面分析有关政策对财政支出的当期和长远影响，严禁出台影响财政可持续的支出政策。加强对地方转移支付资金调度管理，支持基层财政提高民生支出保障能力。完善民生支出监测预警体系，加强财政综合保障能力评估，及时纠正脱离实际、超财力建设等支出政策或项目。

We will coordinate our efforts for economic development and improving people's lives, consistently do everything within our power to meet basic needs, help those in the greatest difficulty, and do more to ensure and improve living standards, so that the people feel a greater sense of benefit. We will improve the mechanism for implementing central authorities' policies on improving public wellbeing, and local government budgets need to prioritize meeting the requirements of such policies so that they may be effectively implemented. Based on the people's needs for basic public services, we will explore establishing a list-based management system for expenditures aimed to improve living standards, which will clarify relevant policies, policy coverage, expenditure standards, and filing procedures. Local governments should commit to file their own policies for improving the people's wellbeing in line with procedure. 

We will intensify debate and evaluation prior to introduction of public-wellbeing policies, take into full account the financial resources of governments at all levels, especially those of county and township levels and of regions facing financial difficulties, and comprehensively analyze the present and long-term influences of these policies on government expenditure, avoiding the adoption of policies that harm fiscal sustainability. We will improve funding management of transfer payments made to local governments, and support county and township governments in improving their capacity to guarantee spending on public wellbeing. We will improve monitoring and early-warning systems for expenditures aimed at raising living standards, strengthen assessment of comprehensive fiscal capacity, and promptly put a stop to policies and projects that are unaffordable or divorced from reality.

（五）全面实施预算绩效管理。

5. Implementing comprehensive performance-based budget management

进一步完善预算绩效管理制度办法和业务流程，健全分行业分领域分层次的核心绩效指标和标准体系。推动预算绩效管理扩围升级，逐步将绩效管理覆盖所有财政资金，延伸到基层单位和资金使用终端，开展中央部门整体支出绩效评价试点。将预算绩效管理关口从事后评价向事前和事中延伸，提高预算编制的科学性和精准性，防止财政资源配置环节和使用过程中的损失浪费。充分调动部门和资金使用单位的积极性，促进财务和业务管理深度融合，推进预算和绩效管理一体化。强化绩效管理责任，建立健全绩效评价结果应用激励约束机制，与预算安排挂钩，低效无效支出一律削减。稳步推进重大政策和项目绩效目标、绩效评价结果向同级人大报告，并随同预算决算向社会公开。

We will further improve measures and procedures for a performance-based budget management system, and improve the multi-tiered system of core performance indicators and standards for individual industries and fields. We will push for upgraded and more extensive performance-based budget management that will eventually cover all budgetary funds as well as all primary-level organizations and funding end users. Trial performance evaluations will be conducted on the overall expenditure of central departments. We will expand performance-based budget management from follow-up evaluation to include pre- and ongoing review, to raise the level of soundness and accuracy in budget compilation, and to guard against loss and wastage during the process of allocating and using financial resources. 

We will fully mobilize the initiative of departments and fund-using institutions, and encourage deeper integration of financial and business management and of budgetary and performance-based management. We will strengthen the responsibility for performance-based management, establish well-conceived incentive and constraint mechanisms for using performance evaluation results, link such results to budget arrangements, and cut all inefficient and ineffectual expenditures. We will take measured steps to encourage every level of government to report their performance targets and performance evaluation results for major policies and projects to the people's congresses of the same level, making them publicly available along with their government budgets and final accounts.

（六）支持和配合人大依法开展预算审查监督。

6. Supporting and cooperating with people's congresses in their review and oversight of government budgets

进一步落实《关于人大预算审查监督重点向支出预算和政策拓展的指导意见》要求，提高支出预算和政策的科学性有效性。紧紧围绕贯彻落实党中央、国务院重大决策部署，结合人大代表和人民群众普遍关心的热点难点问题、审计查出的突出问题、制约事业发展的关键问题等，不断完善支出预算和政策。认真落实人大及其常委会有关预算决算的决议，及时通报落实工作安排和进展情况，增强落实效果。加大审计问题整改力度，建立健全长效机制。完善服务代表委员工作，充分研究吸纳代表委员的意见和建议，在加强日常沟通交流、优化预算报告和草案编制、提高建议提案办理质量、解决代表委员关注的实际问题等方面下更大功夫。

We will further act on the requirements in the Guidelines on People's Congresses Expanding the Focus of Their Budget Review and Oversight to Cover Expenditure Budgets and Policies, to raise the level of design and efficiency of budgetary expenditures and policies. Improvements will be made around the implementation of major policy decisions and plans of the Party Central Committee and the State Council, with due consideration to major and difficult issues of shared concern to people's congress deputies and the general public, pronounced problems discovered in auditing, and key issues hindering our development. The resolutions on budgets and final accounts of people's congresses and their standing committees will be fully implemented, and relevant work arrangements and progress will be promptly reported to them in order to make this implementation more effective. We will step up efforts to rectify problems discovered during auditing, and establish a sound long-term mechanism to address such issues.

We will work to ensure that services for deputies to people's congresses and CPPCC committee members are improved, that their comments and suggestions are studied and drawn upon, and that routine communication with them is strengthened. More efforts will be made to improve compilation of reports on budget execution and draft budgets, raise the quality of the handling of deputies' and members' suggestions and proposals, and resolve any practical concerns they might have.

各位代表，做好2019年财政预算工作意义重大。我们要更加紧密地团结在以习近平同志为核心的党中央周围，坚持以习近平新时代中国特色社会主义思想为指导，自觉接受全国人大的监督，虚心听取全国政协的意见和建议，迎难而上、开拓进取，扎实做好财政预算各项工作，更好发挥财政职能作用，促进经济持续健康发展和社会大局稳定，为全面建成小康社会收官打下决定性基础，以优异成绩庆祝中华人民共和国成立70周年！

Esteemed Deputies, 

Accomplishing the fiscal and budgetary work for 2019 is highly significant. We will unite ever more closely around the CPC Central Committee with Comrade Xi Jinping at its core, uphold Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era as our guide, willingly accept the oversight of the NPC, welcome the comments and suggestions of the CPPCC National Committee, rise to challenges and pioneer forth, solidly carry out all fiscal and budgetary work, and give full play to the role of public finance. In this way, we will promote sustained and sound economic development as well as overall social stability, lay a stable foundation to complete the building of a moderately prosperous society in all respects, and uphold our outstanding achievements as celebration of the 70th anniversary of the founding of the People's Republic of China.

（来源：新华网）

(Source: Xinhua)