Key facts
- China's unemployment insurance fund reported a deficit of 9.13 billion yuan ($1.35 billion) in 2025.
- Benefit payments to unemployed individuals rose significantly.
- Lower contribution rates limited the fund's revenue.
- Total payments for basic living benefits reached 161.6 billion yuan, a 34.2% year-over-year increase.
China's unemployment insurance fund experienced an annual deficit of 9.13 billion yuan ($1.35 billion) in 2025. This shortfall was attributed to a substantial increase in payments to unemployed individuals and related support measures, which outpaced revenue generated from contribution rates that were lowered.