Financial Secretary Chan Mo-po states that the fiscal policy of the next budget will be shifted from "expansionary" to "relatively balanced" due to the huge deficit from the last three years during the Covid pandemic.
Chan wrote on his blog that the ditching of ultra-easy fiscal policy is unavoidable as society enters the post-pandemic period. He said the government will review how to help the citizens and smaller businesses to withstand the adjustments.
He also expressed that there is no rush to get rid of all the expansionary measures at once since it might just prove fatal for maintaining the current fiscal status.
He ended by pointing out that the main challenge now is to focus on reducing the large budget deficit and lessen the impact on the disadvantaged.
He also expressed that there is no rush to get rid of all the expansionary measures at once since it might just prove fatal for maintaining the current fiscal status.
He ended by pointing out that the main challenge now is to focus on reducing the large budget deficit and lessen the impact on the disadvantaged.