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China’s National Effort in Monitoring and Evaluation Mei Wang Senior Economist The World Bank January 2007, Hanoi Country Context: China has achieved spectacular economic growth and social progress 1400 China's GDP (1980-2005) 35 1200 30 1000 25 800 20 600 15 Chart 1. Poverty Headcount Index 10 400 5 200 0 0 1980 1985 1990 1995 2000 2005 1990 2000 2003 2006 Country Context (cont’d) Yet, the country now faces a set of new developmental challenges after decades of GDPcentered economic growth, including a steady increase in income inequality. 50 Chart 2. Gini Index 45.3 41.1 40 30 20 1980 1985 1990 1995 2000 2005 Country Context (cont’d) The national leaders realize that it is imperative to introduce participation, transparency and accountability into government work to address the new challenges. China’s National Effort in M&E Under its new 11th Five-Year Plan (2006-2010), prepared with broad participation, China has for the first time in its history established an M&E framework with outcome indicators and targets. It committed itself to conduct a mid-term review of the Plan, which will be reported to the National People’s Congress. Illustration of the Output/Outcome Indicators of China's 11th Plan M&E Framework Goals Output/outco me indicators 2005 Baseline 2010 Regularity of Data Targets/ben Data Source Collection chmarks Urbanization ratio 43% Promoting urbanization No. of migrant workers converted into urban resid. 47% Pop. Census; Every 5 years 1% Pop. Sample Survey Rural hhd Rural hhd survey: survey and yearly; Agri. agri. census Census: every 10 45,000,000 12,600,000 yrs. Illustration of the Targets for China's 11th Five-Year Plan M&E Indicators Indicators Reduction of Energy Consumption per Unit GDP(%) Reduction of Water Consumption per Unit Industrial Added Value(%) Reduction of Total Major Pollutants Emission Volume(%) Forest Coverage(%) Yr. 2005 Yr. 2010 Target: Annual growth rate (%) - - [20] - - [30] [10] 18.2 20 [1.8] Population Covered by Basic Pension in Urban Areas(billion people) 1.74 2.23 5.1 Coverage of the New Rural Cooperative Healthcare System(%) 23.5 >80 >[56.5] China’s National Effort in M&E (cont’d) A series of implementation measures were introduced to provide incentives for implementation. – assigning responsible agencies – dividing national targets into provincial ones – establishing a public reporting system Illustration of Provincial Assignment: Reduction of Energy Consumption per Unit GDP Region 2005 Baseline 2010 Target % of Reduction Tons of coal / 1,000 Yuan Tons of coal / 1,000 Yuan Nationwide 12.2 9.8 20% Beijing Jilin Fujian 8 16.5 9.4 6.4 11.6 7.9 20% 30% 16% Gansu 22.6 18.1 20% Early results After only six months under the 11th Plan, the monitoring results were released -acknowledging the initial implementation failures of some key targets. Such level of transparency is unprecedented. The publicity has stimulated open and active discussions among policy makers, experts and media. Early results Provincial governments have developed performance criteria for high-ranking officials based on the targets. A public opinion pool was chosen—for the first time—as one of the means to evaluate officials. Lessons Learned Essential for the introduction of resultsbased national plans and transparency outcome monitoring systems are – Political commitment from the top leaders – A strong and well-located champion – Access to international experience