China is unlikely to roll out a large-scale stimulus package to boost consumption this year, the Shanghai Securities News reported Wednesday, citing a report released by the commerce ministry.
The government has been offering subsidies in past few years to promote consumption, with the household appliance sector benefiting most.
But a slower growth in tax revenues has made hard for the government to continue with direct subsidies, said Zhao Ping, deputy director of the consumption economy department under commerce ministry’s research institute.
Retail sales are expected to increase 13 percent this year from 2013, the same as last year’s growth, while information consumption is projected to expand over 20 percent, making it a major driver for overall consumption growth, the report said.
Sales of smart phones and smart household appliances are forecast to rise further this year, while policy incentives are expected to boost electric and other new-energy car sales, it added.
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