China's fiscal spending increased 15% during January-March from year ago levels to support economic growth, and local governments quickened their bond issuance for key projects, the finance ministry said. For the whole of 2018, fiscal spending rose 8.7% from 2017 levels.

"The relatively strong fiscal spending provided forceful funding support for implementing major national development strategies, pushing reforms in key areas and improving people's livelihood. Faster issuance of local government bonds also helped stabilise economic growth," Hao Lei, a finance ministry official told.

Local government bond issuance stood at 1.18 trillion yuan in January-March period, compared with a total issuance worth 2.17 trillion yuan last year.