Page 7 - REPORT ON THE EXECUTION OF THE CENTRAL AND LOCAL BUDGETS FOR 2022 AND ON THE DRAFT CENTRAL AND LOCAL BUDGETS FOR 2023

expenditure exceeded total revenue, creating a local government deficit of 720
billion yuan, which is consistent with the figure projected.
2. Revenue and expenditure of government-managed funds in 2022

Revenue of China’s government-managed funds in 2022 was 7.787934 trillion
yuan, representing 79% of the budgeted figure and a decrease of 20.6%, mainly due

to the drop in proceeds from the sale of state-owned land-use rights. Adding in
35.468 billion yuan carried over from 2021, 3.65 trillion yuan raised by local
governments through special-purpose bonds, 15 billion yuan from the general

public budget, and 1.81 trillion yuan from profits turned in by designated
state-owned financial institutions and state monopoly business operations, total

revenue amounted to 13.298402 trillion yuan. Expenditure of all
government-managed funds was 11.058328 trillion yuan, representing 79.6% of the

budgeted figure and a decrease of 2.5%. This was mainly due to the drop in
proceeds from the sale of state-owned land-use rights, which resulted in a

corresponding reduction in expenditure.
Revenue of central government-managed funds was 412.399 billion yuan,
representing 97.8% of the budgeted figure and an increase of 3%. Adding in the

funds carried forward from 2021 and transferred from other sources, as well as
profits turned in by designated state-owned financial institutions and state

monopoly business operations, total revenue came to 2.272867 trillion yuan.
Expenditure of central government-managed funds amounted to 633.048 billion

yuan, representing 78.4% of the budgeted figure, primarily due to
lower-than-expected spending allocated from the surcharge on electricity

generated from renewable energy sources. Broken down, this figure includes
554.379 billion yuan of central government spending and 78.669 billion yuan of
transfer payments to local governments. Funds transferred from central

government-managed funds to the central general public budget amounted to 900
billion yuan. Revenue of central government-managed funds exceeded

expenditure by 739.819 billion yuan. Of this figure, 739.309 billion yuan (including
a carryover of 710 billion yuan from profits turned in by designated state-owned

financial institutions and state monopoly business operations) was carried forward
to 2023, while 510 million yuan was contributed to the Central Budget Stabilization

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