The size of the 'Chinese version of supplementary budget' that has been postponed since the U.S. presidential election has been confirmed

The size of the "Chinese version of the supplementary budget" and fiscal stimulus, which has been delayed since the U.S. presidential election, will be confirmed today.

The meeting of the Standing Committee of the National People's Congress, which has the authority to approve China's central government's budget deficit rate and government bond issuance, closes today after five days of schedule.

The biggest concern is the size of the specific fiscal injection to stimulate the economy, with forecasts ranging from 4 trillion yuan to 12 trillion yuan in and out of China.

For example, if 10 trillion yuan is invested, it will be about 8% of China's gross domestic product (GDP) last year, less than 13% (4 trillion yuan) of GDP, which was the size of the stimulus package during the 2008 global financial crisis.

As former U.S. President Donald Trump, who declared a 60% tariff bomb on Chinese imports, has confirmed his re-election, some argue that a stronger stimulus plan is needed than in 2008.

Originally expected late last month, the meeting broke with convention and was delayed to the first week of this month, which could reflect the results of the U.S. presidential election.