How to use fiscal policy development of Western Ch

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How to use fiscal policy development of Western China

Point out effective measures. l to increase investment in the western region, this investment should not be increased growth rate, but should be absolute growth. (1) This investment is mainly used for infrastructure (such as: transport, energy,[link widoczny dla zalogowanych], telecommunications, water, electricity, etc.). Rather than the production and construction projects, more than repetitive construction projects. And this put off to a good grasp of funds and quality. Capital construction funds in strict accordance with the financial procedures, the progress of the power channel and disbursement of funds. Prevent loss and misappropriation of funds. Lending projects included in the project can learn from foreign experience. The application from the project to prove, construction, acceptance of the scientific management of all directions. (2) addition. Also increase education, research and investment in cultural undertakings. Positive development of human resources, promotion of technological innovation and industrialization of scientific and technological achievements in a timely manner. From the eastern region's development experience, education and technology to economic growth is considerable. And this investment allows the population burden into the western region of human resources. Of course,[link widoczny dla zalogowanych], such investment must be planned and implemented step by step. (3) Increase investment in competitive industries of the region to promote its more healthy development. Especially the regional pillar industries, not only to make it more competitive, but also by its development of related industries. Advantage of natural resources can also be based. Increase tourism, agricultural processing, medicines and other ecological areas of investment and people to form characteristic economic zone with West. 2. Preferential tax policies. To further promote the economic development of the western and shorten the difference between east and west. Countries can implement the tax preferential policy of low tax and tax-free. Advantages for the local industries and pillar industries, the state may further reduce the production rate so that more funds for the expansion of the scale, technology and fixed assets of transformation. For those new industries and regional development is weak, but viable, there is a market for industry, the state may consider the implementation of tax policy. And when appropriate, to assist the introduction of technology and market development. In addition. Can reduce the operating costs of start-up phase; on the need for re-processing of capital goods, raw materials,[link widoczny dla zalogowanych], parts and components duty-free goods and other production requirements. Provides duty-free zones, special tax district. Tax free zones can be anywhere from two to three years, �� Pa Tong sweet filling (2ooo No. 2) can be more than six or seven years, still can be implemented after the expiry of the low tax policy; special tax district in 10 years . Even longer. 3. Relaxation of foreign capital policy of the western region. National Planning Commission meeting of foreign capital from the outgoing message, after the introduction of foreign investment in China will further relax the policy. In particular, central and western regions to encourage foreign investment. Restrictions on investment projects and the coastal areas can be appropriately placed in the western clamor to further attract investment to develop the western region of space. To invest in the west and the westward movement of funds in the process. Preferential financial policy, credit policy and fiscal policy, especially foreign investment in weak industries, the Government should actively support. (B) of the national fiscal policy to the many preferential policies for central and western regions. The implementation of these policies, there must be actively cooperate with local financial sector. To this end, I believe that local governments should do the following aspects of the work to develop their economy. 1 to develop the western region by the peer, relying solely on financial direct investment is not enough. All levels of government and the financial sector should focus on long-term interests. In line with market operation rules by establishing funding mechanisms, to play the multiplier effect of financial direct investment to start banking,[link widoczny dla zalogowanych], corporate and social investment. At the same time to take an active fiscal measures to attract private capital, private savings into infrastructure. Fundamentally over-reliance on economic development gradually change the situation of financial investment, and establish with local characteristics of financial income distribution mechanism. 2, the financial sector at all levels should deepen fiscal and tax reform. Strengthening financial management. Actively and steadily push forward the reform process the government taxes and fees. Standardize the tax relief. System based on ownership changes in the structure, adjust the tax structure. While establishing and improving the social security system. According to the local characteristics of the various provinces, autonomous regions and industrial advantages, adjust the structure of financial expenditure. Improve the efficiency of fiscal expenditure. 3 local financial sector should also enhance the concept of financial risk. The risk of local finance major from two aspects: First, the government and the financial security of all kinds of borrowing and debt. Once the security program can not reach the expected benefits on time and also Ao, government will back the repayment burden. The other hand, local financial institutions to transfer risk. Thus,[link widoczny dla zalogowanych], while local governments in economic development within our capabilities to adhere to the best of the modest tightening of fiscal policy. On-lending arrangements for the project and other projects should give full consideration to the financial terms of the matching funds and debt service ability. Avoid financial risk. O Author: Tax Department of Zhongnan University of Finance and Taxation Institute of O Editor Lee Rocker Red 9