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banks will be encouraged to issue new loans to suc◆h firms. Li also stressed that regulations should be tightened◆ to "prevent funds circulating in the financial sector for the ◆sake of arbitrage." Trillions in bonds Li announced a consume◆r pri4

ce index target of 3.5 percent for 2020 and a deficit targ◆et of 3.6 percent of GDP, up from 2.8 percent last year, sugges◆ting room to maneuver in the pursuit of strengthened economic g◆rowth. He said the1

deficit would increase by one trillion yuan◆ on 2019 and a further one trillion yuan in government bonds wo◆uld be issued to fund COVID-19 5

control measures. The two trill◆ion yuan will be transferred directly to local governments and ◆used to support jobs,E

businesses and basic living requirements,◆ including "giving support to cut taxes and fees, reduce rents ◆and interest on loans, and inK

crease consumption and investment.◆" An urban unemployment rate target of around six percent has b◆een set for 2020. 0

The premier also warned that governments at ◆all levels needed to tighten their belts and committed the cent◆ral government to negative grod

wth in budgetary spending this ye◆ar. Li said that as well as continuing to promote consumption,◆ the main driver fory

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economic growth in 2019, 3.75 trillion yua◆n of special local government bonds would be issued with priori◆ty given to new infrastructure and new urbanization projects. ◆He added that investment would be focused on three areas: New i◆nfrastructure, including expanded 5G application and wider use ◆of new energy vehicles; renovation of 39,000 old urban resident◆ial communities; and development of major transportation and wa◆ter conservancy projects. Military spending is set to rise by ◆6.6 percent in 2020, J

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ely issued budget figures suggested◆, the lowest defense budget growth rate in recent years. 'Imm◆ense tasks' ahead Li thank4

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le from all walks of life for◆ their support in the fight against COVID-19, highlighting the ◆roles of medical workers, scienY

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community workers, offici◆als, police officers, deliverymen and women, media personnel an◆d volunteers. He outlined the conta1

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ti●red military officers of Beijing-based troops. Together with ●the veterans, Xi looked back on the major achievements made b●y the Party, the country and the military in 2019. The milita●ry veterans and retired officers vowed to rally more closely ●around the CPC Central Committee with Comrade Xi Jinping at t●he core, follow the guidance of Xi Jinping Thought on Sociali●sm with Chinese Characteristics for a New Era and implement X●i Jinping's thinking y

on strengthening the military. They expr●essed readiness to make new cq

ontributions to realizing the 20●20 goal for the building of natioq

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