China Weighs Targeted Fiscal Support to Hit 2026 Growth Target, Finance Minister Says

China is considering additional fiscal policies to meet its 2026 growth target, Finance Minister Lan Foan wrote in an article published Thursday on the finance ministry's website, as the world's second-largest economy contends with a slowdown. Over the next few months, the ministry must "ensure the effective implementation of existing policies, and study and formulate new, highly targeted policies," Lan wrote. He called for expanding the scope of interest subsidies, onboarding more implementing agencies, and moderately raising funding limits to unlock consumption and catalyze private investment. Unused local government bond quotas from prior years could also be deployed to strengthen budgets and support investment. The pledge follows a plan introduced by government agencies earlier this week that includes the biggest stimulus effort since 2024. Policymakers aim to stabilize the economy without broad fiscal expansion, after a disappointing second quarter signaled further loss of momentum. President Xi Jinping on Wednesday urged efforts to meet full-year targets.