Li Kouqing Deputy Director-General

1. Result-Based Management in China(draft) Li Kouqing Deputy Director-General Asia-Pacific Finance and Development Center, Shanghai

2. Multi-level efforts Strong commitment in capacity building The way forward Overview Strong political will

3. Strong Political Will on Improving the Effectiveness of Public Spending • President Hu Jintao (2007): we should “promote government performance evaluation and accountability, so that improve public services supervisory system.”

4. Strong Political Will on Improving the Effectiveness of Public Spending • From 2000 onwards, the Ministry of Finance（MOF）launched the budget management reform which requires to align the budgeting cycle time with the National People’s Congress and set up a strict accountability system.

5. Strong Political Will on Improving the Effectiveness of Public Spending • Since 2003, the financial departments of all levels of the governments have advanced performance evaluation to reinforce management of fiscal payment results, improve the utilization efficiency of fiscal funds, and popularize the concept of performance management

6. Strong Political Will on Improving the Effectiveness of Public Spending • With the national strategy of realizing sustainable and clean development, China is pushing the accountability system against the increasing pressure on energy conservation and emission reduction.

7. Strong Political Will on Improving the Effectiveness of Public Spending • The energy-saving index has been included in assessment system of government officials, and unit GDP energy consumption indicator system (Green GDP) on both national and regional levels has also been implemented around the country • Premier Wen Jiabao heads the working group responsible for energy saving and emission reduction work

8. Multi-Level Efforts in Promoting Result-Based Management • At the levels of central government • The Key Projects Inspectorate Office (KIPO) of the National Development and Reform Commission (KPIO) has carried out the M&E on its projects and received technical support from ADB • A special performance auditing on 100 projects has been done in the past two years by the NAO (National Audit Office) which also plans to apply the result-based auditing approaches to more than 70% of their jobs in the next 2 years

9. Multi-Level Efforts in Promoting Result-Based Management • At the levels of central government • 2007, the International Department of MoF executed a pilot project financed by WB to diagnose the used indicator systems of the selected 8 typical projects in 4 industries with the cooperation of 4 other ministries

10. Multi-Level Efforts in Promoting Result-Based Management • At the levels of local governments • Most of the financial offices have better understanding of the increasing importance of result based evaluation • Guangdong province has widely applied the MfDR and set up the first formal Division of Performance Evaluation in China • Sanya City in Hainan Province discloses performance evaluation results of projects related with civil interests on “Sanya Morning News” for public supervision

11. Strong Commitment in Capacity Building • Activities • The National Center for S&T Evaluation of Ministry of S&T has held several training programs for the evaluator mainly from the S&T ministry • With the Technical Assistance of ADB, a series of training projects aiming at improving the capacity of examination commissioners has been conducted within the Office of Large -Scale Construction Projects Supervision in SDRC

12. Strong Commitment in Capacity Building • SHIPDET • SHIPDET is co-organized by WB, ADB, MoF and AFDC • Much different from other training programs, SHIPDET is open to different ministries in China and different regional countries

13. Strong Commitment in Capacity Building • SHIPDET • SHIPDET is an integrated platform of training, research and evaluation aiming at contributing to improve Asia-Pacific developing countries’ development evaluation capacity by knowledge dissemination and experience sharing • 258 officials/scholars/practitioners from 19 countries have participated in SHIPDET training in the past two years

14. The Way Forward • Systematic institutional arrangement • A more systematic approach and institutional arrangement should be explored • Establishment/improvement of Locally adapted indicators • More suitable, unified and performance evaluation indicator systems, which combine international norms to China’s real situations, are being explored and spread gradually • Capacity building • For the huge domestic and regional demand of well trained evaluation professionals, the capacity building is still one of the most important work to do

15. Thank you!