Poverty, Vulnerability, and Fiscal Sustainability in the People’s Republic of China

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This report explores the new poverty reduction strategy of the People’s Republic of China and focuses on the vulnerable, particularly children, the elderly, and those whose access to health care is jeopardized by urbanization and aging.

The People’s Republic of China has a long and successful record of poverty reduction. As incomes rise, the country’s new poverty reduction strategy needs to treat poverty as multidimensional, reinvigorate rural development, develop an integrated rural-urban poverty strategy, and include the vulnerable segments of the population in poverty policy. The report delves into the questions: how much fiscal support is needed to finance social services and protection, and how much should be shouldered by individuals and households?