On the morning of Jan. 12, the Information Office of Shandong Provincial People’s Government held a press conference to brief on the progress of budget performance management in the province. According to the press conference, last year, Shandong cut 4.35 billion yuan from its budget through performance evaluation. In the budget preparation of 2021, according to preliminary statistics, the province will reduce the budget by 6.85 billion yuan through performance evaluation.
Han Zhiyi, director of Budget Performance Management Division of Shandong Provincial Department of Finance, briefed on the Provisional Measures for the Application and Management of Provincial Budget Performance Results. The Provisional Measures stipulated that the projects with excellent performance evaluations shall be given priority in the next year’s budget; for projects with good performance evaluation results, related expenditure shall be controlled by zero growth in principle; for the project whose performance evaluation results are in the middle, the total budget in principle shall be reduced by no less than 10%; projects with poor performance evaluation results shall be cancelled or withdrawn in principle.
In the 2020 budget preparation, the budgets of seven projects with medium performance evaluation results at the provincial level were reduced by 20%.
In 2020, nearly 40,000 project performance goals and more than 7,000 performance evaluation results at all levels of the province were submitted to the people’s congress at the same level for reference along with the draft budget and final account, and more than 10,000 departments in the province made public more than 60,000 project performance goals and 40,000 project evaluation results.