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Hangzhou to give coupons
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Shopping coupons have become a poplar tool for Chinese provincial governments to spur spending and help low-income households. Hangzhou, capital city of Zhejiang Province, has announced that it will give out 40 million yuan worth of coupons to residents in the nearby Yangtze River Delta region, to attract more tourists.

Hangzhou's tourism authority said on Monday the coupons will be mailed between March,1st and May, 31st. They can be used in more than 100 scenic spots and some hotels in the city. Tourists with these coupons can enjoy a 10 yuan discount for every 40 yuan spending. The coupons will be dispatched during sales promotions and be mailed around nearby areas.

Wang Xinzhang, deputy director of Hangzhou Tourism Commission, says, "the average spending of domestic tourists in Hangzhou is 1,900 yuan per person. The coupons can drive a total of 1.9 billion yuan. "

At present, 28 scenic spots including the West Lake and QianDao Lake are covered by the coupons. Other cities such as Beijing and Chengdu have also issued coupons to their residents during the Spring Festival period. Expert say the fiscal tool can dirve consumption immediately.

Wang Jifei, expert, says, "the coupons ensured consumers' option cause they covered various goods. Meanwhile, unlike cash, the coupons must be used instead of saved, so they can truly boost consumption."

Experts pointed out that consumption should be encouraged by giving benefits. The coupons is a good tool to encourage spending.

(CCTV January 22, 2009)

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