Chinese Premier Zhu Rongji has called for further reforms of the country's financial system and introduction of a proactive financial policy.
At a meeting with participants in a national conference on fiscal work which opened in Beijing Wednesday, Zhu said reforms of China's financial and tax system underway since 1994 helped regulate income distribution among the central government, enterprises and individuals, ensuring a steady increase in the country's fiscal revenue.
The premier said the national fiscal revenue increased by 159.5 billion yuan (US$19.3 billion) annually from 1994 to 2001. It is expected to grow by some 180 billion yuan (US$21.8 billion) this year.
China has adopted a proactive fiscal policy and a stable monetary policy since the 1998 Asian financial crisis. Long-term treasury bonds valued at 660 billion yuan (US$79.8 billion) have been issued during the past four years.
Meanwhile, governments at all levels have used a total of 239 billion yuan (US$28.9 billion) to guarantee the basic livelihoods of people whose incomes were below the national average.
Some 406.6 billion yuan (US$49.2 billion) have been spent to increase wages for public servants and staff working in state-owned institutions since 1999.
During the past four years, the central government also helped to improve tax management in rural areas.
According to Zhu, fiscal management reforms in government departments have played significant roles in preventing corruption in recent years.
The premier said it was important to increase fiscal incomes while reducing costs, to adjust and improve the fiscal budget, and avoid extravagance and waste, in order to better develop fiscal management in China.
(Xinhua News Agency December 26, 2002)
