(Note: in calculating the growth rate, the figures for 2001 have been adjusted for convenient comparison according to the reform plan for income tax sharing which began to be implemented in 2002, and the same below.)

Total expenditures in the draft central and local budgets amount to 2.1113 trillion yuan, an increase of 226.9 billion yuan, or 12 percent, over the actual figure of last year.

Xiang made the remarks in the Report on the Implementation of the Central and Local Budgets for 2001 and on the Draft Central and Local Budgets for 2002 he delivered at the current session of the National People's Congress.

According to the minister, total revenue in the central budget for 2002 is 1.0646 trillion yuan, an increase of 76.5 billion yuan, or 7.7 percent, over that of last year.

This figure includes 1.0042 trillion yuan collected by the central government, which is 75.4 billion yuan, or 8.1 percent, over that of last year.

Expenditures in the central budget total 1.3744 trillion yuan, a rise of 126.5 billion yuan, or 10.1 percent, over that of last year. A total of 641.2 billion yuan of these expenditures will be incurred at the central level, which is 65.8 billion yuan, or 11.4 percent, over that of last year.

The deficit in the central budget is 309.8 billion yuan, 50 billion yuan over that of last year.

The minister said that the value of treasury bonds to be issued this year is 592.9 billion yuan, including 258.1 billion yuan to be used by the central government to repay the principal on domestic and foreign debt due in 2002, 309.8 billion yuan to be used to cover this year's deficit, and 25 billion yuan of the bonds which the central government issues for local governments.

The central revenue from generation of debt in 2002 is 567.9 billion yuan. In addition, revenue for funds controlled by the central government for 2002 totals 86 billion yuan and projected expenditures from such funds total 86 billion yuan.

Xiang said that total revenue in the local budgets for 2002 as compiled by the central government amounts to 1.5305 trillion yuan, an increase of 149.7 billion yuan, or 10.8 percent, over the actual figure of last year.

The revenue collected by local governments totals 797.3 billion yuan, 89 billion yuan, or 12.6 percent, more than the actual figure of last year. Subsidies to local governments from the central budget amount to 733.2 billion yuan, an increase of 60.6 billion yuan, or 9 percent, over the actual figure of last year.

Total expenditures in the local budgets amount to 1.5305 trillion yuan, 162.2 billion yuan, or 11.9 percent, more than the actual figure of last year. This figure includes expenditures of 1. 4701 trillion yuan in the local budgets, an increase of 161.1 billion yuan, or 12.3 percent, over the actual figure of last year; and 60.4 billion yuan to be turned over to the central government, up 1.1 billion yuan over that of last year.

Revenue and expenditures are balanced in the local budgets, the minister said.

(Xinhua News Agency March 6, 2002)