Wednesday, March 12, 2008

Highlights: China launches sweeping institutional restructuring of gov't

http://english.peopledaily.com.cn/90001/90776/90785/6370831.html

Chinese lawmakers will on Tuesday afternoon deliberate a State Council proposal for institutional restructuring of the government, which involves the installation of "super ministries" on energy, transportation, industries and environment protection.

State Councilor Hua Jianmin, also Secretary General of the cabinet, is to make an explanation on the plan at the First Session of the 11th National People's Congress (NPC).

Following are the highlights of his report distributed to journalists before the meeting:

SUPER MINISTRIES

The target for this round of government reshuffle is to explore a "super ministry" system to streamline government department functions, and to form some "bigger departments" to strengthen macro-economic regulation, maintain national security of energy supply, integrate information development and industrialization.

It is also aimed at streamlining the country's transportation system by setting up the ministry of transport to annex civil aviation and postal services, and urban public transportation management of the Ministry of Construction.

The State Environmental Protection Administration will be elevated to be ministry of environment protection, and the Ministry of Health empowered with the function to oversee food and drug safety.

The State Council will have 27 ministries and commissions apart from the General Office after the reshuffle, compared with the present 28.

MACRO-REGULATION

To form a scientific, authoritative and effective macro-regulation system by reasonably rearranging government functions for macro-regulating departments,

-- The National Development and Reform Commission (NDRC) will focus on macro-regulation and fade out from involvement in micromanagement of the economy and reduce its examination and approvals of specific projects.

-- The Ministry of Finance shall reform and improve its management over budget and taxation. The People's Bank of China shall strengthen the system of monetary policies, and improve the mechanism of exchange rate formation.

Source: Xinhua

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