08 May 2025
More recent developments
April 2, 2026
China to introduce a new tax to improve local finances
China is laying the groundwork for a new local tax source. On March 30, the finance ministry (MoF) announced it will formulate a draft Local Surtax Law – combining the urban maintenance and construction tax, education surcharge, and local education… Read More »
April 2, 2026
Banks’ NIM pessimism makes 2026 rate cut unlikely
A rate cut this year is less likely than we previously thought. Some context: On January 15, central bank (PBoC) Deputy Governor Zou Lan said that banks’ net interest margins (NIMs) – the main constraint on rate cuts – will… Read More »
April 2, 2026
China launches pork reserve purchasing as pork prices crater
Beijing is stocking up on cheap pork. On April 2, the macro planner (NDRC) and the ministries of commerce (MofCom) and finance (MoF) announced the launch of pork purchasing for central reserves, citing the need to ensure "stable pork market… Read More »