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China announced its intention to increase the monetary and fiscal stimulus in 2019. The monetary policy of the Celestial Empire will maintain a balance between tightening and softening.
The authorities announced that next year, a significant tax cut will be implemented. Citizens will be able to count on tax deductions in the amount of 1 thousand yuan ($ 144) to 2 thousand yuan per month depending on the category of expenses. In addition, the Chinese authorities plan to continue to open domestic markets and to achieve a trade agreement with the United States.
The government also noted that, despite the weakening growth of the Chinese economy, Beijing does not intend to embark on full-scale incentives to avoid a negative impact on the yuan.
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