Wednesday 25 March 2009

Stimulus spending has to be transparent, Wen warns officials

Premier Wen Jiabao has demanded regional governments be transparent in their plans to spend the country’s 4 trillion yuan (HK$4.54 trillion) stimulus package to avoid opportunities for corruption.

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Guanyu said...

Stimulus spending has to be transparent, Wen warns officials

Al Guo
25 March 2009

Premier Wen Jiabao has demanded regional governments be transparent in their plans to spend the country’s 4 trillion yuan (HK$4.54 trillion) stimulus package to avoid opportunities for corruption.

Mr. Wen told a State Council meeting yesterday that top officials at all levels of government would be the primary targets for tight discipline and inspection this year to ensure that no powers were abused, according to a report from China Central Television.

The meeting came just two weeks after the State Council for the first time named the areas and industries targeted in the giant stimulus package since it was unveiled in November.

The information was released on the sidelines of the National People’s Congress but did not satisfy many delegates who argued that more detailed spending plans needed to be in place to prevent corrupt officials from taking the opportunity to fatten their wallets.

Chinese Academy of Social Sciences professor Xu Youyu said the additional emphasis on transparency and corruption still lacked detail but could be interpreted as the latest effort from the government to ward off mounting public criticism towards the bureaucracy.

“It’s obvious that they [the government] are aware of the mounting dissatisfaction towards the lack of information on the stimulus package and worsening corruption,” Professor Xu said.

“So they want to launch a pre-emptive campaign to assure the public that they are working hard to make something happen.”

Mr. Wen told the meeting that special inspection teams had been sent across the nation to examine major government-sponsored water, road, railway and construction projects and more teams would be sent throughout the year to continue the job.

He said leaders in government departments would be subject to tougher auditing this year. Inspectors would pay special attention to cases in which top officials might use their power to authorise projects or funds for kickbacks.

Mr. Wen repeated his earlier message that this was “the most difficult year for China”, saying that only greater policy transparency and government efficiency could pull the mainland through these challenging times.

Professor Xu said this year looked more like that of 1989, when students and the public - dissatisfied with rampant government corruption - took to the street to protest against the Communist Party’s rule.

“Everything this year, from the stimulus package and rising unemployment to the social disparity and rampant corruption, could be a trigger for large-scale social unrest,” Professor Xu said.

The mostly empty measures were much better than nothing at all, but did not offer the government the kind of checks and balances needed to create transparency and fight corruption, he said.

“The truth is simple. Nobody, even saints, can correct their wrongs without outside checks,” Professor Xu said. “Unfortunately, the Communist Party does not tolerate any outside monitoring, even from the media, at the moment.”