China's Local Finance Faces Difficulties
According to German media reports, the finances of China's local governments are facing severe challenges due to downward economic pressure. The sources of income for local governments, including land sales and taxes, have been impacted, leaving them in a tight financial situation.
Currently, there is a disparity between the expenditures and revenues of local governments in China, leading many regions to face a funding shortage crisis. As a result, many local governments have had to seek assistance from the central government to bridge the financial gap. This situation has also raised concerns about the overall economic health of China.
