Recently China releases a new Detailed Rules for the Implementation of Economic Responsibility Audit over Principal Leading Cadres of the Party, the Government and State-Owned Enterprises (The Rules), with a view to strengthening the audit of officials' economic performance.
The Rules are a follow-up action of legalization to the Regulations for Audit of Economic Accountability over Principal Leading Cadres of the Party, the Government and State-Owned Enterprises (The Regulations), which the General Offices of the Central Committee of the CPC and the State Council jointly circulated in December 2010. The audit of economic responsibility, first launched in 1999 in China to evaluate the performance of officials in fulfilling their economic responsibilities, covers government and Party officials and legal representatives of state-owned enterprises.
This time, the Rules are jointly issued by seven commissions and departments: the Central Commission for Discipline Inspection of the Communist Party of China (CPC), and Central Organization Department of the CPC, State Commission Office for Public Sectors Reform, Ministry of Supervision, Ministry of Human Resources and Social Security, National Audit Office of China, and the State-owned Assets Supervision and Administration Commission of the State Council.
The Rules consist of 8 chapters: general provisions, the officials audited, the contents of audit, audit evaluation, audit report, the application of audit results, organization and implementation, and supplementary provisions.
According to the Rules, the economic responsibility audit of Chinese officials will give spotlight to the quality and sustainability of economic and social development. It will also focus on the social, economic and environmental benefits of officials' decision-making and administrative activities. The results of the auditing will be used as references in performance evaluation, promotion, rewarding and punishment of officials.