New development: Fiscal transparency in China—government policy and the role of social media

Abstract

Despite a reputation for secrecy, the Chinese government recently adopted a policy of publishing official financial information. The policy applies to all levels of government in China. The information released is being amplified by the media, particularly the internet-based social media, and has triggered unprecedented public discussion about corruption in government and financial management practices. This article describes the evolution and impact of this new fiscal transparency in China, and the role of social media in transmitting government financial information and providing feedback to government. Since this information is available only in Chinese, this article also discusses its general contents.

Keywords:

• Budget institutions
• China
• fiscal transparency
• government accountability
• social media

Acknowledgment

This article is based in part on research funded by Project No. 71172222 (‘Improvements of Government Accounting Systems in Response to Stakeholder Demands and Institutional Constraints’) of the National Natural Science Foundation of China. The authors are solely responsible for its content.

Notes

^* The disclosure rule does not apply to information concerning national security.

Additional information

Notes on contributors

Qi Zhang

Qi Zhang is Associate Professor of Accounting at Zhongnan University of Economics and Law (Wuhan, China), where he is deputy director of the School of Accounting and director of the Government Accounting Research Institute.

James L. Chan

James L. Chan, Professor Emeritus of Accounting at the University of Illinois at Chicago, Distinguished Overseas Professor at Peking University and at Shandong University of Finance and Economics; and Professor by Special Appointment at the Research Institute of Fiscal Science in China.