CHINA-ECONOMY: CHINA INTRODUCES BUDGET PERFORMANCE MANAGEMENT

The CCP CC and and the State Council issued a top-level policy document on September 24,, called “Opinions on Comprehensive Implementation of Budget Performance Management.” This is a new system which will focus on assessing and improving:  Fiscal revenue structure; Revenue collection efficiency; Effects of preferential fiscal policies; and Efficiency of fiscal expenditure. The system will continuously assess the impact of fiscal spending and evolve a roadmap for improvement over time. All government departments are now required to do performance assessments before applying for budgetary money for major policies or investments. Officials’ personal careers will be affected by how efficiently they spend money. The system is likely to be established in three to five years.







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