According to requirements for the establishment of a framework for a system of public finance, financial departments at all levels stepped up their efforts at readjusting the pattern of expenditures in 2000 and strove to guarantee funding for key projects which have a great bearing on reform, development and stability.
Greater efforts were made to guarantee funding for key projects, and all reforms and social undertakings were promoted.
These were remarked by Xiang Huaicheng, minister of finance, in his Report on the Central and Local Budgets for 2000 and the Draft Central and Local Budgets for 2001 on Tuesday, the second day of the Fourth Session of the Ninth National People's Congress (NPC).
Last year, key items of expenditures in the central budget (including subsidies for local governments) are as follows:
Expenditures for undertakings in culture, education, science and technology and health total 36.19 billion yuan (US$4.38 billion), an increase of 16.2 percent over the previous year.
Expenditures for social security total 87.627 billion yuan, an increase of 34.2 percent over the previous year.
Expenditures for agriculture total 21.705 billion yuan, an increase of 50.9 percent over the previous year.
Expenditures for public security organs, procuratorial organs and people's courts total 6.655 billion yuan, an increase of 10.9 percent over the previous year.
Expenditures for retirement benefits paid to retirees from administrative departments and institutions total 4.327 billion yuan, an increase of 28 percent over the previous year.
Expenditures for capital construction total 140.67 billion yuan, the same as those of the previous year.
Xiang went on to note that according to Decision of the Standing Committee of the National People's Congress on Strengthening Examination and Supervision of the Central Budget, "any surplus revenue in the central budget may be used to offset its deficit or cover other necessary expenditures."
Of the 68 billion yuan surplus in the central budget for 2000, 20 billion yuan was used to reduce the deficit in the central finance and the remaining 48 billion yuan was allocated mainly to key projects as needed for social and economic development for the same year.
Thirty billion yuan was used to replenish the national social security fund, 10 billion yuan was used to subsidize local social security funds and 8 billion yuan was allocated to grain risk funds.
In accordance with regulations, a written report on the use of this surplus in the central finance has been submitted to the Standing Committee of the National People's Congress, according to the official.
In accordance with the provisions of the Budget Law, local governments at all levels were responsible for allocating the 36.234 billion yuan surplus in local budgets. This surplus was used mainly to repay wages in arrears, increase subsidies for social security, guarantee funding for key projects in agriculture, education and ecological protection, and fund reform of the grain distribution system, he said.
(Xinhua 03/06/2001)
