China first-quarter fiscal spending quickens as Beijing seeks to spur growth

BEIJING, April 24 (Reuters) - China’s ‌fiscal spending ​rose ​2.6% in the first quarter from a year earlier, accelerating from a 1% increase in ‌2025, the finance ministry said on Friday, as Beijing ⁠steps up support for economic growth amid rising global risks caused ‌by the Middle East ‌conflict.

Fiscal expenditure in the January–March period totalled 7.47 trillion yuan ($1.09 trillion), while fiscal revenue grew 2.4% from a ​year earlier to 6.16 trillion yuan, the ministry said.

First‑quarter fiscal spending accounted for 24.9% of annual budgeted expenditure - ⁠the highest in recent years - a finance ministry official told a media briefing, ​as authorities pledged to boost government outlays to help meet this year’s economic growth target.

At ​an agenda-setting meeting last month, Chinese ‌policymakers vowed to continue a "more proactive" fiscal policy for 2026, promising record public spending, ⁠government bond issuance and transfers to local government.

Government land sales revenue fell 24.4% over the first three months from a year ⁠earlier, the ministry also said.

Revenue from land sales by local governments ​was down 25.2% on the year over the first two months of 2026, following a 14.7% contraction in 2025.

Local governments have previously ‌relied on the sales of land-use rights to property developers as a major source of ‌revenue. A prolonged property market downturn that started in ⁠mid-2021 has continued to strain ‌local government finances.

($1 = ​6.8377 Chinese yuan renminbi)

(Reporting by Yukun Zhang and Kevin Yao; Writing by Beijing NewsroomEditing by Tomasz ‌Janowski)

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