Challenges and Countermeasures for the Sustainable Development of Local Finance under the Impact of COVID-19

Zhang Deyong () and Liu Jiazhi
Additional contact information
Zhang Deyong: Research Fellow at National Academy of Economic Strategy, Chinese Academy of Social Sciences, Beijing, China
Liu Jiazhi: Master Candidate at Graduate School, University of Chinese Academy of Social Sciences, Beijing, China

China Finance and Economic Review, 2021, vol. 10, issue 1, 117-128

Abstract: In recent years, the risks and challenges at home and abroad have increased significantly, and the downward pressure on the economy has increased, especially the implementation of larger-scale tax and fee cuts under the proactive fiscal policy, while the rigidity of local fiscal expenditure has not been reduced, and the sustainable development of local finance is facing greater challenges. In particular, the COVID-19 pandemic has had a serious impact on the already stressed local finance, which has led to the intensified contradiction between local fiscal revenue and expenditure. This paper analyzes the challenges to the sustainable development of local finance under the impact of COVID-19 from four angles: the greater economic downward pressure combined with larger-scale tax and fee cuts, the fiscal relationship between the central and local governments, land finance, and transfer payment, then puts forward the corresponding policy recommendations.

Keywords: sustainable development of local finance; tax and fee cuts; fiscal and tax system reform; land finance (search for similar items in EconPapers)
Date: 2021
References: Add references at CitEc
Citations:

Downloads: (external link)
https://doi.org/10.1515/cfer-2021-0007 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bpj:cferev:v:10:y:2021:i:1:p:117-128:n:7

DOI: 10.1515/cfer-2021-0007

Access Statistics for this article

China Finance and Economic Review is currently edited by He Dexu

More articles in China Finance and Economic Review from De Gruyter
Bibliographic data for series maintained by Peter Golla ().