A Study Of Government Budget Performance Management In China

Budget performance management is an important part of the government performance management. The Concept of budget performance management is the combination of the western concept of performance budgeting with the budget management practice in China. This paper links theory with practice, uses the research methods such as logical reasoning etc and tries to explain the connotation of the Chinese budget performance management system. Through evaluating the budget performance management work in China and analyzing the foreign theory of performance budget, the paper tries to put forward the overall framework and make policy suggestions to further deepen the reform of the budget performance management in China.The definition and the main content of the budget performance management is the basis of the research. The paper introduces the theory of public goods, the principal-agent theory and the theory of new public management which all make the theoretical basis to carry out research in the budget performance management. The paper deeply analyses the reason for the start of the budget performance management campaign. And then the paper also summarizes the stage of development in the practice of budget performance management. At the same time, through analyzing Chinese traditional cultural background, the government management system, administrative management ability, legislative system and the budget transparency, the paper finds that in China, there are no basic conditions to implement performance budgeting. But we should refer to the ideas and methods of performance budgeting to further improve and perfect China’s so-called "budget performance management system". This is an indispensable and insurmountable stage to put forward the reform in the budgeting system. And it’s also an realistic choice for China in the current development stage.From the view of the Ministry of Finance, the central government departments and the local financial sectors, the paper summarizes the practice and introduces detailed information in the practice of China’s budget performance management such as the management model, the organizational framework, the policy system, the working process and so on. On the basis of summarizing achievements of the budget performance management in China, the paper sums up the problems in the budget performance management practice such as imperfect mechanism, different stages of work in budget systems, shallow level in working process, poor quality, lack of application and so on. The article summarizes the causes of the problems including lack of performance culture, imperfect law system, lack of budget transparency, imperfect performance evaluating index system and imperfect information construction in government management.The experience in performance budgeting of western countries provides references to China. The paper carries on detailed description the practice of western countries such as the purpose to carry out reform, the reform background, the practice process and then compares western experience with China’s. The paper argues that China should reform in the areas of the administrative system, the long-term budget planning, the result-oriented evaluation system, the construction of law systems and the information transparency.Finally, the paper makes some suggestions about China’s budget performance management reform. The budget performance management system is the guarantee of improving budget efficiency and it is the key to improve the government management level. The budget performance management system is also the inevitable way to build the harmonious society. According to the requirements of the whole process budget performance management, the Chinese government should implement the budget performance management system from four different ways:the performance target, the performance monitoring system in the budget operation, the evaluation of performance and the application of evaluation results. The paper also designs the path and countermeasures to further reform budget performance management such as gradually expand the scope and deepen the level of the performance management, constantly improve information management system, strengthen organization system and establish and perfect the framework of policy system.