China's Overall Balance (% of GDP): Net Lending/Borrowing Trends and Forecasts (1990-2029)

China’s net lending/borrowing trends highlight the balancing act between rapid economic growth and fiscal stability. During the 1990s and early 2000s, deficits were moderate, averaging around -2%, as government spending supported infrastructure development and industrial expansion. The 2008 global financial crisis led to stimulus measures that widened the deficit to -2.9% in 2009.

The post-2015 period saw deepening deficits, reaching -9.7% in 2020 due to the pandemic’s economic impact and fiscal interventions. Forecasts from 2023 to 2029 indicate persistent deficits around -7.8%, reflecting continued public investment to sustain growth. These trends underscore the challenges of managing fiscal health while supporting structural reforms and economic modernization.