New local government debt will be kept under "reasonable control" in 2016 and the following years, Finance Minister Lou Jiwei said during a national fiscal conference held in Beijing, according to a statement released by the ministry on its website Monday.
The country will adopt a more positive fiscal policy in 2016 and subsequent years, including gradually increasing the fiscal deficit rate, widening the budget deficit, issuing more national treasury bonds and cutting corporate tax burdens, Lou said.
Lou said that fiscal departments at all levels of governments made great efforts to support the central government's goals of achieving steady growth and restructuring the economy during the 12th Five-Year Plan period (2011-15).
As for local governments' debts, the country will supervise those in financial high-risk regions to set up plans to control and avoid debt risks over the long term, said the statement.
The country will continue to pursue the reform of State-owned enterprises (SOEs) through mergers and acquisitions, according to the statement.
The country encourages the mixed-ownership model for SOEs, aiming to enhance their operating efficiency, vitality and capability to withstand risks, said the statement.
China will also strengthen fiscal cooperation with international institutions and better use its domestic and international resources to drive economic development and reforms within the country, said the statement.
