China Expected to Expand Budget Deficit Amid Trade War Risks

China’s policy makers are expected to increase the budget deficit in the coming year, as a slowing economy and the downdraft from the trade war with the U.S. raise the need for a more active fiscal policy Authorities will increase the budget deficit target to between 2.6 percent and 3 percent of economic output, up from 2.6 percent this year, according to 21 of 28 economists in a Bloomberg survey. The remainder forecast a deficit higher than 3 percent of gross domestic product. China Is Hitting Reality Now on ‘Impossible’ Tax, Deficit Goals. Read more here