{"id":716696,"date":"2026-06-05T10:06:13","date_gmt":"2026-06-05T10:06:13","guid":{"rendered":"https:\/\/www.newsbeep.com\/au\/716696\/"},"modified":"2026-06-05T10:06:13","modified_gmt":"2026-06-05T10:06:13","slug":"chinas-provinces-turn-to-soe-profits-after-worst-first-quarter-fiscal-stress-since-2020","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/au\/716696\/","title":{"rendered":"China\u2019s provinces turn to SOE profits after worst first-quarter fiscal stress since 2020"},"content":{"rendered":"

A growing number of Chinese provinces are proposing to increase profit remittance rates from state-owned enterprises<\/a> to secure alternative funding sources, as local revenues fell short of public expenditure during the first three months of the year.<\/p>\n

Following a similar move by the central government, provinces including Guangdong, Jiangxi, Jiangsu and Hainan have announced plans to raise collection rates on state capital returns in their regional five-year plans for the 2026 to 2030 period.<\/p>\n

Jiangsu, a fast-growing province in eastern China, said it would \u201cdynamically optimise\u201d collection rates. Guangdong, the nation\u2019s largest provincial economy, similarly announced it aimed to \u201creasonably raise\u201d rates.<\/p>\n

Hainan, meanwhile, said it would seek to refine its tiered profit remittance framework for state-owned enterprises and gradually increase the share of revenues allocated to the public budget, according to its development blueprint.<\/p>\n

The proposals came as local governments face intensifying budgetary pressures<\/a>. No Chinese province generated sufficient local revenue to cover public spending during the first three months of 2026, according to data compiled from Wind and local departments of finance.<\/p>\n

That marked the first time since the pandemic in 2020 that the first quarter of the year recorded a nationwide shortfall before central government transfers.<\/p>\n","protected":false},"excerpt":{"rendered":"A growing number of Chinese provinces are proposing to increase profit remittance rates from state-owned enterprises to secure…\n","protected":false},"author":2,"featured_media":716697,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[64,63,99,512,4690,30950,164,39380,18462,31158,141293,2420,4933,191876,72942],"class_list":["post-716696","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-au","tag-australia","tag-business","tag-china","tag-chinese","tag-economist-intelligence-unit","tag-economy","tag-guangdong","tag-hainan","tag-jiangsu","tag-jiangxi","tag-local-governments","tag-shanghai","tag-state-owned-enterprises","tag-xu-tianchen"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/716696","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/comments?post=716696"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/716696\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media\/716697"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media?parent=716696"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/categories?post=716696"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/tags?post=716696"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}