China is preparing new coordinated fiscal and financial measures for the second half of the year as economic growth weakens and domestic demand remains subdued. The programme includes interest subsidies and loan guarantees aimed at encouraging borrowing by businesses and consumers, while Beijing also seeks to accelerate local government spending.

BEIJING - China's coordinated fiscal and financial policies aimed at increasing domestic demand have been optimized and improved, a finance ministry official said on Friday.

China will introduce a new package of policies and measures to further expand domestic demand and strengthen the momentum of economic growth, China's Vice-Minister of Finance Liao…