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China’s unemployment insurance fund is facing escalating financial strain. According to recent data from the Ministry of Human Resources and Social Security, the country’s unemployment insurance system covered 248 million people from January to April 2026. During this period, the fund took in 70.53 billion yuan ($10.41 billion) in revenue but paid out 70.86 billion yuan, resulting in a deficit of 330 million yuan. Compared with the same period last year, the number of participants, fund revenue and expenditures increased by 3.95 million, 3.99 billion yuan and 8.09 billion yuan, respectively. Notably, the spending reached its highest level for the same period since 2020.
