State Council Deploys Coordinated Fiscal and Financial Policies to Boost Domestic Demand

On January 9, 2026, the State Council held an executive meeting to deploy a package of coordinated fiscal and financial policies to boost domestic demand, study measures for the provision of basic public services by places of permanent residence, and review and adopt the Regulations of the People’s Republic of China on Nature Reserves (Draft Revision).

The meeting deployed measures to, through coordination between fiscal and financial policies, guide social capital to participate in promoting consumption and expanding investment; optimize loan interest subsidy policies for service sector market participants and personal consumption, implement interest subsidies for loans to small and micro enterprises, establish a dedicated guarantee scheme for private investment, and build a risk-sharing mechanism for private enterprise bonds. The meeting also called for optimizing fiscal interest subsidies for equipment renewal loans, further lowering enterprise financing thresholds and costs, and strengthening full-chain management of policy implementation and the standardized use of funds.

The meeting studied the provision of basic public services by places of permanent residence, proposing improvement of systems for migrant children’s education, public rental housing guarantees, participation in employee social security at the place of employment, basic medical insurance at the place of residence, and employment services. It called for the allocation of public service facilities according to resident population and improved policies for the co-construction and sharing of basic public services for the floating population.

The meeting reviewed and adopted the Regulations on Nature Reserves (Draft Revision), emphasizing the principle of ecological protection first, coordinating protection and development, implementing holistic protection, systematic restoration, and comprehensive management of nature reserves, and, on the premise of ensuring ecological protection, enhancing public service functions and establishing a mechanism led by government with multi-stakeholder participation and social sharing.